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Ricardo owns investment A and 1 bond B . The total value of his holdings is $ 2 , 7 0 7 . 1 9

Ricardo owns investment A and 1 bond B. The total value of his holdings is $2,707.19. Investment A is expected to pay annual cash flows to Ronish of $282.00 per year with the first annual cash flow expected later today and the last annual cash flow expected in 8 years from today. Investment A has an expected return of 15.31 percent. Bond B pays semi-annual coupons, matures in 11 years, has a face value of $1,000.00, has a coupon rate of 8.82 percent, and pays its next coupon in 6 months. What is the yield-to-maturity for bond B?
3.29%(plus or minus 2 bps)
6.59%(plus or minus 2 bps)
2.23%(plus or minus 2 bps)
2.70%(plus or minus 2 bps)
none of the answers are within 2 bps of the correct answer

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