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Sarah owns investment A and 1 bond B. The total value of his holdings is $2,200. Investment A is expected to pay annual cash flows

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Sarah owns investment A and 1 bond B. The total value of his holdings is $2,200. Investment A is expected to pay annual cash flows to Sarah of $200 per year with the first annual cash flow expected later today and the last annual cash flow expected in 5 years from today. Investment A has an expected return of 17.40 percent. Bond B pays semi-annual coupons, matures in 19 years, has a face value of $1000, has a coupon rate of 9.80 percent, and pays its next coupon in 6 months. What is the yield-to-maturity for bond B? 5.58% (plus or minus 0.04 percentage points) 6.44% (plus or minus 0.04 percentage points) 5.80% (plus or minus 0.04 percentage points) 2.90% (plus or minus 0.04 percentage points) None of the above is within 0.04 percentage points of the correct

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