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Question 1 Why might one firm have positive cash flows and be headed for financial trouble, whereas another firm with negative cash flows could actually

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Question 1 Why might one firm have positive cash flows and be headed for financial trouble, whereas another firm with negative cash flows could actually be in a good financial position? (10 points) Question 2 Given the anticipated rate of inflation (i) of 2.13% and the real rate of interest (R) of 3.1%, find the nominal rate of interest (r). (10 points)

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