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Gloria Purchased a $1,000 Bond for $935

Question 348

Multiple Choice

Gloria purchased a $1,000 bond for $935.The coupon rate of interest is 7.5 percent,and the bond matures in 12 years.What is Gloria's current yield on this bond?


A) 8.38 percent
B) 7.88 percent
C) 8.02 percent
D) 9.35 percent

Correct Answer:

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