4. An investment had a nominal return of 9.8 percent last year. The inflation rate was 2.9 percent. What was the real return on the investment?

5.Gugenheim, Inc., has a bond outstanding with a coupon rate of 6.5 percent and annual payments. The yield to maturity is 7.7 percent and the bond matures in 21 years. What is the market price if the bond has a par value of $2,000?