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Walton, Inc. issued $1,000 bonds that have an annual coupon rate of 8%. The present market value of the bonds is $1,100. If the bonds

Walton, Inc. issued $1,000 bonds that have an annual coupon rate of 8%. The present market value of the bonds is $1,100. If the bonds have 12 years remaining until maturity, what is the current yield on Walton bonds?

A. 6.32%

B. 5.31%

C. 8.93%

D. 7.27%

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