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Cullumber, Inc., has four-year bonds outstanding that pay a coupon rate of 6.90 percent and make coupon payments semiannually. If these bonds are currently selling

Cullumber, Inc., has four-year bonds outstanding that pay a coupon rate of 6.90 percent and make coupon payments semiannually. If these bonds are currently selling at $915.89.

What is the yield to maturity that an investor can expect to earn on these bonds?

Yield to maturity?

What is the effective annual yield?

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