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You are analyzing the opportunity cost of your down payment in making a rent versus...

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Finance

You are analyzing the opportunity cost of your down payment in making a rent versus home purchase cost comparison. If your available downpayment is $35,000 which could have been invested at 1.8%, compounded semi-annually, what is the after-tax opportunity cost of using this money as your down payment? Your marginal tax rate is 30%.

  1. $630

  2. $633

  3. $443

  4. $441

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