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    Fundamentals of Corporate Finance Study Set 20
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    Exam 2: The Financial System and the Level of Interest Rates
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    The Nominal Rate of Interest Is Made Up of
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The Nominal Rate of Interest Is Made Up of

Question 42

Question 42

Multiple Choice

The nominal rate of interest is made up of


A) the real rate of interest.
B) compensation for inflation.
C) a commodity cross-index return.
D) both a and b above.

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