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A 20-year maturity mortgage-backed bond is issued. The bond has a par value of $10,000 and a 6 percent annual coupon. At initial issue, you

A 20-year maturity mortgage-backed bond is issued. The bond has a par value of $10,000 and a 6 percent annual coupon. At initial issue, you pay a price of $8,470 for the bond with the plan to hold it for the full 20 years. What is your annual yield on the bond? (Give answer to 2 decimal places if applicable).

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