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A 10-year, $1,000 bond pays 12% dividends (coupons) and the coupons are paid quarterly - can be purchased for $900. If the bond is purchased
A 10-year, $1,000 bond pays 12% dividends (coupons) and the coupons are paid quarterly - can be purchased for $900. If the bond is purchased and pays as scheduled, what effective rate of return will the purchaser receive? Use some interpolation to estimate it.
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