Use the Following Information to Answer the Question(s)below

question 46

Multiple Choice

Use the following information to answer the question(s) below.
Suppose you purchase a 20-year treasury bond with a 6% annual coupon ten years ago at par.Today the bond's yield to maturity has risen to 8% (EAR) .
-If you hold this bond to maturity,the internal rate of return you will earn on your investment will be closest to:

• A)5.0%.
• B)5.6%.
• C)6.0%.
• D)8.0%.

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Definitions:

Internalize

The process by which individuals absorb and integrate the values, norms, and beliefs of their society into their own consciousness.

Devaluation

The process of reducing or underestimating the worth or importance of something or someone.

Cross-gender Conversation

Interactions that occur between individuals of different gender identities, highlighting differences in communication styles and understanding.

Communicate Differently

The phenomenon that individuals or groups may vary in their methods, styles, or preferences for exchanging information and expressing thoughts and emotions.