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A bond with a face value of $ 1 , 0 0 0 , a 7 % coupon rate, and 2 0 years to maturity

A bond with a face value of $

1, 000,

7 %

coupon rate, and

20

years to maturity is priced at $

850 .

What is its yield to maturity

(

YTM

) ?

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