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Suppose an investor buys a UK bond with a coupon rate of 8% at its price of 990. The bond's face value is 1,000. If
Suppose an investor buys a UK bond with a coupon rate of 8% at its price of 990. The bond's face value is 1,000. If the British pound depreciates by 5%, at what end of year selling price of this bond will the dollar return on the bond just equal 10%?
A) 1,037 B) 1,146 C) 1,198 D) 2,027
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