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MM Mock Exam 3 AM Question 7-C

If you guys have this mock, I got to 102,000/13,338,000 = .0076. How come we don’t increase this amount by inflation, THEN increase by taxes?

The answer uses .0076 as after tax real return.

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I believe that you don’t increase it for taxes because it asked for the after-tax return

I could be mistaken.

Simplify the complicated side; don't complify the simplicated side.

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http://financialexamhelp123.com/

I apologize for this dumb question, I was blind. Thank you!

My pleasure.

Simplify the complicated side; don't complify the simplicated side.

Financial Exam Help 123: The place to get help for the CFA® exams
http://financialexamhelp123.com/