Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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Suppose you bought a bond with an annual coupon rate of 4 percent one year ago for $800. The bond sells for $850 today.
a. |
Assuming a $1,000 face value, what was your total dollar |
b. | What was your total nominal |
c. | If the inflation rate last year was 2 percent, what was your total real rate of return on this investment? |
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