A $1,000 bond is currently selling for $847.50. With semiannual interest payments, the bond has a coupon rate of 5 percent and 24.5 years to maturity. What is the bond's yield to maturity?
A) 3.33%
B) 6.72%
C) 6.88%
D) 3.44%
E) 6.22%
Correct Answer:
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