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Mary Bergen is investing in treasury security that matures in 5 years, par value $ 1 , 0 0 0 . The treasury note pays

Mary Bergen is investing in treasury security that matures in 5 years, par value $1,000. The treasury note pays an annual coupon of 5.06%. There is inflation that remains constant at 2% annually over the next five years.
1) Does the inflation rate affect the interest calculation of treasury notes? Yes or no.
2) What will be Marys annual interest income from the Treasury note for each of the 5 years?

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