Question
1. The local electronics store is offering a promotion 1-year: same as cash, meaning that you can buy a TV now, and wait a year
1. The local electronics store is offering a promotion "1-year: same as cash," meaning that you can buy a TV now, and wait a year to pay (with no interest). So, if you take home a $1,100 TV today, you will owe them $1,100 in one year. If your bank is offering 4% interest, what is the true cost of the TV to you today?
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The Economics Of Money Banking And Financial Markets
Authors: Frederic Mishkin
13th Global Edition
1292409487, 978-1292409481
