The local electronics store is offering a promotion 1-year, Financial Management

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The local electronics store is offering a promotion 1-year

The local electronics store is offering a promotion "1-year: same as cash," meaning that you can buy a TV now, and wait a year to pay (with no interest). So, if you take home a $1,000 TV today, you will owe them $1,000 in one year. If your bank is offering 4% interest, what is the true cost of the TV to you today?

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