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5, David Rawlings pays $ 1,000 to buy a five-year Treasury bond that pays a 6% coupon rate (for simplicity, assume annual coupon payments). One

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5, David Rawlings pays $ 1,000 to buy a five-year Treasury bond that pays a 6% coupon rate (for simplicity, assume annual coupon payments). One year later, the market's required return on this bond has increased from 6% to 7%. What is Rawlings' total return in dollars on the bond? a. 966.13 b. 154.24 c. 45.68 d. 26.13 e. No ne of the above

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