What Is the Total Rate of Return on a Bond

question 23

Multiple Choice

What is the total rate of return on a bond with a coupon of $55 that was purchased for $900 and sold one year later for $950?

• A)5.56%
• B)6.11%
• C)11.67%
• D)12.43%

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Definitions:

Performance Orientation

A cultural or organizational focus on performance and achievement of specific outcomes, often measured against predefined standards.

Future Orientation

A perspective or planning approach that prioritizes long-term goals and anticipates future trends and potential challenges.

Gender Equality

The state in which access to rights or opportunities is unaffected by gender, and individuals are treated equally regardless of their gender.

Motivation Orientation

The direction and intensity of an individual's impulse towards achieving particular goals or fulfilling specific needs or desires.