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Aunt Mabel purchased an 8% coupon, 12-year maturity bond for $950. The coupons are paid annually. A year later , the bond price is $1,075.

Aunt Mabel purchased an 8% coupon, 12-year maturity bond for $950. The coupons are paid annually. A year later, the bond price is $1,075. Round your answer to two decimals points.

a) What is the new YTM on the bond?

b) What is Aunt Mabel's rate of return over the year?

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