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Malcom bought a 6.5% bond price at 85% of par that had 30 years until it matures. 1 year later the yield to maturity on

Malcom bought a 6.5% bond price at 85% of par that had 30 years until it matures. 1 year later the yield to maturity on this bond is 9.4%. What return did he earn on this bond?

Question 7 options:

-4.32%

-8.32%

-13.32%

-9.32%

-10.32%

The risk-free rate of return is 3.5 percent and the market risk premium is 6.25 percent. What is the expected rate of return on a stock with a beta of .91?

Question 8 options:

9.19%

6.00%

5.69%

5.94%

9.44%

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