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You wish to purchase a $1,000 bond from a friend who needs the money. There are 7 years remaining until the bond matures, and interest

You wish to purchase a $1,000 bond from a friend who needs the money. There are 7 years remaining until the bond matures, and interest payments are quarterly. You decide to offer $750.08 for the bond because you want to earn exactly 16% per year compounded quarterly on the investment. What is the annual bond rate of interest?

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