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Hi,
Can someone help me with this question?
How would a higher than expected inflation rate affect the value of real tax savings from depreciation and the value of real after-tax interest expense, everything else held constant?
It should be A (real tax savings from depreciation & real interest expense would be lower) instead of the answer they provided B (real tax savings from depreciation would be higher and real interest expense would be lower)?
Thanks in advance! |
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