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Business, 30.08.2020 01:01 alexsysantiago54

You bought one of Great White Shark Repellant Co.’s 8 percent coupon bonds one year ago for $1,044. These bonds make annual payments and mature 13 years from now. Suppose you decide to sell your bonds today, when the required return on the bonds is 6 percent. The bonds have a par value of $1,000.Required:If the inflation rate was 3.4 percent over the past year, what was your total real return on investment?

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You bought one of Great White Shark Repellant Co.’s 8 percent coupon bonds one year ago for $1,044....
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