Question: Electrolex, Inc., has four-year bonds outstanding that pay a coupon rate of 8.83 percent semiannually. If these bonds are currently selling at $861.63, the yield

Electrolex, Inc., has four-year bonds outstanding that pay a coupon rate of 8.83 percent semiannually. If these bonds are currently selling at $861.63, the yield to maturity that an investor can expect to earn on these bonds is % and the effective annual yield is %.

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