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22 October, 22:54

An investment's time horizon affects the after-tax rate of return on investments taxed annually. true or false

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  1. 22 October, 23:17
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    True. Because of the time value of money taxes paid in the future have a reduced economic burden on the tax payer. Since most investments are taxed only when you cash out, the longer the investment's time horizon, the greater the after-tax rate of return.
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