Question: 1 . [ 5 pts . each ] If the tax rate is 4 0 percent, compute the before - tax real interest rate and

1.[5 pts. each] If the tax rate is 40 percent, compute the before-tax real interest rate and the after-tax real interest rate in each of the following cases.
[a] The nominal interest rate is 10% and the expected inflation rate is 5%;
[b] The nominal interest rate is 6% and the expected inflation rate is 2%;
[c] The nominal interest rate is 4% and the expected inflation rate is 1%;

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