Question: Suppose you bought a $1,000 face value bond with a coupon rate of 3.8 percent one year ago. The purchase price was $988.6. You sold

Suppose you bought a $1,000 face value bond with a coupon rate of 3.8 percent one year ago. The purchase price was $988.6. You sold the bond today for $990.6. If the inflation rate last year was 1.6 percent, what was your exact real rate of return on this investment? ______%


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