0:00 Time Left:1:21:00 Doreen Zeng: Attempt 1 3 Question 20 (1 point) The nominal risk free rate is equal to 10%. The inflation rate is 2%. Att = 0 a hamburger costs $1. Consider the following desired consumption stream: 6 9 > 12 At t = 30 you want to eat 5,000 hamburgers. Then you want to consume 4% more hamburgers until t = 50, and then 5% more hamburgers until t = 66. Assume that you are using the nominal approach to calculate the PV of all those cash flows. You write down the following equation. (1 +DF 1 1 (1 + E)")(1+G) (1 + L) 1 I-K (1 + MN (1 +P) PV = B-C Ito 15 - 7 18 What should the value of N be in this equation? (Note: the second term accounts for cash flows 51 to 66) W 6