Find marginal cost of adding both moonroof and security
You've purchased a car for $10,000, and now are deciding whether to have a moonroof installed for $400 and a security system installed for $200. The marginal cost of adding both the moonroof and the security system is?
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Suppose the real risk-free rate, r*, is 2% and investors expect inflation to be 4% next year, 5% the following year, and 7% per year thereafter. Assume the MRP is zero for Year 1 and increases by 0.1% each year. Compute the quoted, or risk-free, r
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You've purchased a car for $10,000, and now are deciding whether to have a moonroof installed for $400 and a security system installed for $200.
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