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Janice V. bought a 10% $1000 20-year bond for $1000. She received a semiannual dividend for 8 years, then sold it immediately after the sixteenth dividend for $950. What rate of return did she make per semiannual period, and per year (nominal)? The rate of return that she made per semiannual period is The rate of return that she made per year is [

Janice V. bought a 10% $1000 20-year bond for $1000. She received a semiannual dividend for 8 years, then sold it immediately after the sixteenth dividend for $950. What rate of return did she make per semiannual period, and per year (nominal)? The rate of return that she made per semiannual period is The rate of return that she made per year is [

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Janice V. bought a 10% $1000 20-year bond for $1000. She received a semiannual dividend for 8 years, then sold it immediately after the sixteenth dividend for $950. What rate of return did she make per semiannual period, and per year (nominal)? The rate of return that she made per semiannual period is [ The rate of return that she made per year is [ %
Transcribed Image Text:Janice V. bought a 10% $1000 20-year bond for $1000. She received a semiannual dividend for 8 years, then sold it immediately after the sixteenth dividend for $950. What rate of return did she make per semiannual period, and per year (nominal)? The rate of return that she made per semiannual period is [ The rate of return that she made per year is [ %
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