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The Current Price of a 10-Year,$1,000 Par Value Bond Is

Question 102

Multiple Choice

The current price of a 10-year,$1,000 par value bond is $1,158.91.Interest on this bond is paid every six months,and the simple annual yield is 14 percent.Given these facts,what is the annual coupon rate on this bond?


A) 10%
B) 12%
C) 14%
D) 17%
E) 21%

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