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Posted by on Tuesday, May 18, 2010 at 7:38pm.

Suppose you bought an 8% coupon bond one year ago for $1090.00. The bond sells for $1063.00 today. Assuming a $1000 face value, what was ur total dollar return over the past year? What was the nominal rate of return over the past year? And, if inflation was 3%, what was ur total real rate of return on this investment???

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