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4. A bond matures in 5 years and pays a 4.00% annual coupon. The bond has a face value of $1,000 and currently sells for

4. A bond matures in 5 years and pays a 4.00% annual coupon. The bond has a face value of $1,000 and currently sells for $1,050. What is the yield to the maturity of the bond?

a. 8.17%

b. 5.53%

c. 2.91%

d. 2.50%

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