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23 23) Current yield overstates the return of premium bonds since investors who buy a bond on a premium face a capital loss over the
23 23) Current yield overstates the return of premium bonds since investors who buy a bond on a premium face a capital loss over the life of the bond A) True B) False 24) It is important to discount both real and nominal cash flows at the real interest rate A) True B) False 25) A car dealer offers payments of S522.59 per month for 48 months on a $25,000 car after making a $4.000 down payment. What is the loan's APR? A) 6% B) 9% C) 12% D) 11%
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