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Two bonds are traded in the same market with %10 coupon payments. Bond A is priced with premium (above its nominal value) and Bond B
Two bonds are traded in the same market with %10 coupon payments. Bond A is priced with premium (above its nominal value) and Bond B is priced with discount (below its nominal value). What could be the expected returns on Bond A and Bond B respectively? A) A: %12,45 B: %9,54 B) A: %10,00 B: %11,36 C) A: %9,54 B: %12,45 D) A: %9,54 B: %9,89 E) A: %11,36 B: %10
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