A bond par value is $2,000 and the coupon rate is 5.6 percent. The bond price was $1,946.33 at the beginning of the year and $1,981.13 at the end of the year. The inflation rate for the year was 3.0 percent. What was the bond's real return for the year?

rev: 02_12_2019_QC_CS-157876

Multiple Choice

• 4.41%

• 3.86%

• 5.65%

• 4.70%