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During a period of severe inflation, a bond offered a nominal HPR of 80% per year. The inflation rate was 70% per year. Required: a.

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During a period of severe inflation, a bond offered a nominal HPR of 80% per year. The inflation rate was 70% per year. Required: a. What was the real HPR on the bond over the year? b. Find the approximation rrealrnomi. Compare your answer in part b to the one in part a. Note: Round your answers to 2 decimal places

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