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Business, 23.03.2021 02:00 lescoto9035

Suppose you are considering putting your savings in an investment fund. Scenario A projects stable prices, and therefore, low returns. Scenario B involves high inflation and, consequently, high returns. In both cases, the capital earnings tax rate is 25.0 %. Calculate the nominal and real after-tax returns for both scenarios. Please include at least two numbers after the decimal point for your answers. Do not round your answers.

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