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6. Suppose you bought a $1,000 face value bond with a coupon rate of 5.6 percent one year ago. The purchase price was $987.50. You

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6. Suppose you bought a $1,000 face value bond with a coupon rate of 5.6 percent one year ago. The purchase price was $987.50. You sold the bond today for $994.20. What was your total rate of return on this investment? A) 4.88 percent B) 5.32 percent C) 6.35 percent D) 3.78 percent E) 4.47 percent A 0 B D O E Question 7 1 pts 7. A stock has annual returns of 5 percent, 21 percent, -12 percent, 7 percent, and 6 percent for the past five years. The arithmetic average of these returns is -------- percent while the geometric average return for the period is percent. A) 5.80; 4.86 B) 5.80; 5.03 C) 5.62; 5.03 D) 5.40; 5.03 E) 5.40; 4.86

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