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Suppose that you borrow money from a bank at a fixed rate of interest, bit that over the period of the loan, the inflation rate
Suppose that you borrow money from a bank at a fixed rate of interest, bit that over the period of the loan, the inflation rate turns out higher than both you and the bank expected. In that case is it better to have been the borrower or the lender? Explain your reasoning
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Fundamentals of corporate finance
Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates
2nd Edition
978-0470933268, 470933267, 470876441, 978-0470876442
