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A $ 1 , 0 0 0 bond has a market price of $ 9 7 5 , and a 5 % annual coupon rate.

A $1,000 bond has a market price of $975, and a 5% annual coupon rate. It will mature in 5 years. What is the approximate current yield of the bond?
Select one:
a.5.13%
b.4.88%
c. none of the answer choices
d.5.41%
e.4.50%
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