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2. A bond's nominal interest rate is 8.80%. If the expected inflation rate is 2.10% and the realized (actual) inflation rate is 2.55%. What is

2. A bond's nominal interest rate is 8.80%. If the expected inflation rate is 2.10% and the realized (actual) inflation rate is 2.55%. What is the bond's real rate of return?

A. 8.35%

B. 3.70%

C. 6.25%

D. 5.80%

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