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You buy a bond today at face value for $1,000 with a 5.9% coupon interest payment. The bond matures in 8 years. One year from

You buy a bond today at face value for $1,000 with a 5.9% coupon interest payment. The bond matures in 8 years.

One year from now, you sell your bond when interest rates are 8.6%. What is your rate of return?

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