What Is the Return on a 5 Percent Coupon Bond

question 81

Multiple Choice

What is the return on a 5 percent coupon bond that initially sells for $1,000 and sells for $900 next year?

• A)5 percent
• B)10 percent
• C)-5 percent
• D)-10 percent

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Definitions:

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The state of an economy at a given time, including factors like inflation, unemployment, and growth rates.

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