What would be the effect on NPV calculations (that is, would NPV be overstated or understated) of

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What would be the effect on NPV calculations (that is, would NPV be overstated or understated)

of dealing with inflation incorrectly by

(a) discounting nominal cash flows at real discount rates and

(b) discounting real cash flows at nominal discount rates?

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Financial Management For Decision Makers

ISBN: 9780273717645

5th Edition

Authors: Peter Atrill

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Question Posted: Jul 19, 2024 10:03 PM

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What would be the effect on NPV calculations (that is, would NPV be overstated or understated) of

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Financial Management For Decision Makers

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