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You purchased a bond one year ago for $959.20 and just received the annual coupon of $70. You sell the bond today for $950. What

You purchased a bond one year ago for $959.20 and just received the annual coupon of $70. You sell the bond today for $950. What is your real return if inflation was 4%?

a. 2.25% b. 2.75%

c. 3.50%

d. 4.17%

e. 6.25%

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