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23-96 Market Interest Rates Are Expected to Increase 1 Percent

Question 81

Multiple Choice

23-96 Market interest rates are expected to increase 1 percent to 11 percent in the next year.If this occurs,what will be the effect on the market value of equity of Allright?


A) -$801,818.
B) -$2,430,909.
C) -$6,529,091.
D) +$2,430,909.
E) +$2,532,727.

Correct Answer:

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