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Question 50 2 pts A bank expects to raise $30 million in new money if it pays a deposit rate of 7%, $60 million in
Question 50 2 pts A bank expects to raise $30 million in new money if it pays a deposit rate of 7%, $60 million in new money if it pays a deposit rate of 7.5%, $80 million in new money if it pays a deposit rate of 8%, and it can raise $100 million in new money if it pays a deposit rate of 8.5%. The bank expects to earn 9% on all money that it receives in new deposits. What is the marginal cost of deposits if this bank raises its deposit rate from 7.0% to 7.5%? 9.5% 7.5% O 8.0% O 0.5% 10.5%
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