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If the real interest rate is 1% per annum and the inflation rate is 3% per annum, then what is the present value of a

If the real interest rate is 1% per annum and the inflation rate is 3% per annum, then what is the present value of a $1,000,000 nominal payment next year?

Please provide work on how you would get this answer

A: $980,681.

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