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An investor has two investment options: ( i ) an equity fund with an expected return of 9 % that is taxed at a capital

An investor has two investment options: (i) an equity fund with an expected return of 9% that is taxed at a capital gain tax rate of 20% and is marked to market every year, and (ii) a non-dividend paying stock with an expected return of 8%. What is the ratio of terminal wealth (
) in these two cases after 10 years of investment?

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