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If Your Primary Goal Is Current Yield,which One of These

Question 141

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If your primary goal is current yield,which one of these bonds is the wiser investment? Bond A: $1,000 corporate bond that pays 6 percent and has a current market value of $700; or Bond B: $1,000 corporate bond that pays 7.25 percent and has a current market value of $800?

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Bond A current yield = ($1,000...

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