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Question 4 A bond has a yield to maturity of 4.5 percent, a 6.5 percent annual coupon, a $1,000 face value, and a maturity date

Question 4

A bond has a yield to maturity of 4.5 percent, a 6.5 percent annual coupon, a $1,000 face value, and a maturity date 5 years from today. What is the current yield? (assume annual compounding)

Group of answer choices

2.99 percent

3.61 percent

5.61 percent

5.98 percent

7.21 percent

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