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Company XYZ has a bond outstanding with a face value of $1000 that reaches maturity in 5 years. The bond certificate indicates that the stated

Company XYZ has a bond outstanding with a face value of $1000 that reaches maturity in 5 years. The bond certificate indicates that the stated coupon rate for this bond is 8% and that the coupon payments are to be made semiannually.

Assuming that this bond trades for $980, then the YTM (yield to maturity) for this bond is closest to:

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