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Suppose Anastasia has a consol bond (a perpetuity bond) that pays an annual coupon of $50 per year and yields on similar types of investments

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Suppose Anastasia has a consol bond (a perpetuity bond) that pays an annual coupon of $50 per year and yields on similar types of investments are 5%. If Anastasia expects competing yields will increase to 12%, what is her expected capital gain (positive for a gain and negative for a loss)? O A. $2,884.47 O B. $1,000 O C. -$583.33 O D. -$416.67 8 9 Next page

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