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What is wage in today dollars after three years

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Question 1) You have $50,000 in savings which is expected to grow at 8% annual rate through wise investing decisions. If expected inflation rate is 3% per year, how much will you have in real terms (i.e., after adjusting for inflation) in 20 years?

Question 2) You work for a fixed wage rate of $60,000 per year. If inflation is 4% per year, what is your wage in today's dollars after 3 years?

Reference no: EM132492884

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