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QUESTION 23 You purchased a coupon bond at $798.25 two years ago with ten years remaining to maturity at the time of purchase. The coupon

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QUESTION 23 "You purchased a coupon bond at $798.25 two years ago with ten years remaining to maturity at the time of purchase. The coupon interest rate is 8%, and par value is $1,000. The yield has remained unchanged over the past two years, but it is expected to increase to 12.5% next year. What is your expected rate of return over the next year? Choose the closest answer." a. 6.22% b. 9.98% C.-3.06% d. 6.65%

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