Question: 5) What is the real rate of return on a bond with an annual coupon rate of 8% A) 12% B) 4% C)6% D)2% given

5) What is the real rate of return on a bond with an annual coupon rate of 8% A) 12% B) 4% C)6% D)2% given an annual inflation rate of 4%? 6) Which of the following is the correct formula for calculating simple interest coupon? A) Interest coupon = Principal (Time + Present Value) B) Interest coupon = Principal Rate of interest C) Interest coupon-Principal (Time + Rate of interest) D) Interest coupon = Principal (100 + Rate of interest)

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