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A 2-year maturity bond with face value of $1,000 makes annual coupon payments of $118 and is selling at face value. What will be the
A 2-year maturity bond with face value of $1,000 makes annual coupon payments of $118 and is selling at face value. What will be the rate of return on the bond if its yield to maturity at the end of the year is: (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.)
Rate of Returm (in percentage) | |
6% | |
11.8% | |
13.8% |
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