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94. Angelo purchased a 7% annual coupon bond one year ago for $987. At the time of purchase, the bond had six years to maturity.

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94. Angelo purchased a 7% annual coupon bond one year ago for $987. At the time of purchase, the bond had six years to maturity. Over the past year inflation has been 3.2%. The market required return on this bond today is 8%. If Angelo sells the bond today at the market price, what real rate of return will he realize on this investment? A-1.16% B. 1.13% C 1.1796 D.4.33% 436%

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