The outstanding bonds of Winter Time Products provide a real rate of return of 3.03 percent. The current rate of inflation is 4.68 percent. What is the actual nominal rate of return on these bonds?
A) 7.58 percent
B) 7.33 percent
C) 7.71 percent
D) 7.76 percent
E) 7.85 percent
Correct Answer:
Verified
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