Multiple Choice
Effective annual yield: Stanley Hart invested in a municipal bond that promised an annual yield of 6.7 percent. The bond pays coupons twice a year. What is the effective annual yield (EAY) on this investment?
A) 13.4%
B) 6.81%
C) 6.70%
D) None of the above
Correct Answer:
Verified
Correct Answer:
Verified
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