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(Yield to maturity)The market price is $700 for a 16-year bond ($1,000 par value) that pays 11 percent annual interest, but makes interest payments on

(Yield to maturity)The market price is

$700

for a

16-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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