Question: (Expected rate of return and current yield) Time Warner has $1,000 bonds that are selling for $659. The coupon interest rate on the bonds is

(Expected rate of return and current yield) Time Warner has $1,000 bonds that are selling for $659. The coupon interest rate on the bonds is 9.85 percent and they mature in 28 years. What is the yield to maturity on the bonds? (Round to two decimal places.)

Group of answer choices

1.15%

1.42%

15.10%

4.93%

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