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The market price is $1,200 for a 9-year bond ($1,000 par value) that pays 11 percent annual interest, but makes interest payments on a semiannual

The market price is

$1,200

for a

9-year

bond

($1,000

par value) that pays

11 percent annual interest, but makes interest payments on a semiannual basis

(5.5

percent semiannually). What is the bond's yield to maturity?

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