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( Sunk costs ) A young couple has made a nonrefundable deposit of the first month's rent ( equal to $ 1 , 0 0
Sunk costs A young couple has made a nonrefundable deposit of the first month's rent equal to $ on a month apartment lease. The next day they find a different apartment that they like just as well. but its monthly rent is only $ They plan to be in the apartment only months. Should they switch to the new apartment? What if they plan to stay year? Assume an interest rate of
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