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Suppose you bought a bond with an annual coupon rate of 4 percent one year ago for 800. the bond sells for 850 today. A.
Suppose you bought a bond with an annual coupon rate of 4 percent one year ago for 800. the bond sells for 850 today. A. Assuming a 1000 face value, what was your total dollar return on this investment over the past year?
Total dollar return ____ B. What was your total nominal rate of return on this investment over the past year? Nonimal rate of return -________ C. If the inflation rate last year was 2 percent, what was your total real rate of return on this investment? Real rate of return _______
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