Your bank advertises a 1-year CD rate of 2 percent. You are in the 15%...
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Accounting
Your bank advertises a 1-year CD rate of 2 percent. You are in the 15% tax bracket and expect inflation to be 3% over the next year. You estimate the nominal rate to be
A. -1.00%
B. 5.06%
C. 1.70%
D. 2.00%
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