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Jack and Jill are considering the purchase of JF Corporation bonds. The bonds have a yield to maturity of 5.34%. Jack decides to buy the

Jack and Jill are considering the purchase of JF Corporation bonds. The bonds have a yield to maturity of 5.34%. Jack decides to buy the bonds and Jill does not buy the bonds.

  • A. Jack must have a required return lower than the required return for Jill.
  • B. Jill must have a required return above 5.34%.
  • C. Jack must have a required return above 5.34%.
  • D. The bond's coupon rate must be below 5.34%.
  • E. Both A and B

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