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Rita Jacob Purchased a Corporate Bond at $650 a Year

Question 44

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Rita Jacob purchased a corporate bond at $650 a year ago. The price of the bond has now increased to $665.
A) What is Rita's capital gains yield from this investment?
B) If her investment return is 7%, what coupon payment must she have received?

Correct Answer:

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a. 2.31%
b...

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