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He purchased a five-year annual payment 6% coupon bond for $1,000 and planned to hold it to maturity. However, just after purchasing the bond, it

He purchased a five-year annual payment 6% coupon bond for $1,000 and planned to hold it to maturity. However, just after purchasing the bond, it was paid out at $1,043.29 when all interest rates fell to 5% and stayed there for the entire five years. He reinvested the money for the entire five years. 


What was your CAGR on his original investment?

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