1. To examine the impact of income taxes on timberland valuation, one should use:
a. Nominal values for revenues and costs with a real discount rate.
b. Real values for revenues and costs with a nominal discount rate.
c. All nominal values or all real values, as long as one is consistent with him/herself.
d. Nominal values for revenues and costs with a nominal discount rate
e. None of the above
2. You are paying an effective annual rate of 14.50 percent on your credit card. The interest is compounded monthly. What is the annual percentage rate on your account?
12.05 percent
12.78 percent
14.50 percent
13.62 percent
15.96 percent