Mathematics, 20.03.2021 05:50 zzzio1866
Suppose you’ll have an annual nominal income of $40,000 for each of the next three years, and the inflation rate is 5 percent per year.
a. Find the real value of your $40,000 salary for each of the next three years.
b. If you have a COLA in your contract, and the inflation rate is 5 percent, what is the real value of your salary for each year?
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Suppose you’ll have an annual nominal income of $40,000 for each of the next three years, and the in...
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