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As an investment analyst for a fund that invests in bonds, you are tasked with evaluating the efficacy of a potential investment. You are given

As an investment analyst for a fund that invests in bonds, you are tasked with evaluating the efficacy of a potential investment. You are given a bond that has a 4% coupon rate and matures 4 years from now. The price of the bond is $890. What is the yield-to-maturity (YTM) of the bond?

a. 6.79%

b. 2.96%

c. 7.27%

d. 5.75%

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