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4. The average annualized return on the $1000, 5% coupon bond, bought at par and sold for $850 a year later is a. -7.5% b.

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4. The average annualized return on the $1000, 5% coupon bond, bought at par and sold for $850 a year later is a. -7.5% b. -5% C. -2.5% d. 0%

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