Assume you borrowed $100,000 at a fixed rate of 7 percent for 30 years to purchase a house. if the inflation rate is 3 percent, then your repayments to the lender have purchasing power than the dollars that s/he loaned to you.
a) less
b) more
c) the same
d) none of the above
Answers: 3
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Assume you borrowed $100,000 at a fixed rate of 7 percent for 30 years to purchase a house. if the i...
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