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One year ago, Kim purchased a corporate bond with a $1,000 par value, a 9% annual coupon rate, and an 8-year maturity. At the time
One year ago, Kim purchased a corporate bond with a $1,000 par value, a 9% annual coupon
rate, and an 8-year maturity. At the time of purchase, it had an expected yield to maturity of
6.78%. If Kim sold the bond today for $1,082.69, what rate of return would she have earned
for the past year?
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