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    Fundamentals of Financial Management Study Set 1
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    Exam 6: Interest Rates
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    If Investors Expect a Zero Rate of Inflation,then the Nominal
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If Investors Expect a Zero Rate of Inflation,then the Nominal

Question 67

Question 67

True/False

If investors expect a zero rate of inflation,then the nominal rate of return on a very short-term U.S.Treasury bond should be equal to the real risk-free rate,r*.

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