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Eric bought a treasury inflation protection security bond with an 8 percent coupon rate and a par value of $5,000. The bond's yield to maturity
Eric bought a treasury inflation protection security bond with an 8 percent coupon rate and a par value of $5,000. The bond's yield to maturity is 6 percent. The Consumer Price Index (CPI) reference was 200 when the bond was purchased. One year later the CPI is 220. How much annual interest will Eric earn after the bond is adjusted for inflation? Multiple Choice O $300 $330 O O $400 o $440
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