Question: What is the current yield for a bond with a $1,000 par value bond, a 5% annual coupon rate that matures in 5 years, if

What is the current yield for a bond with a $1,000 par value bond, a 5% annual coupon rate that matures in 5 years, if the opportunity cost is 8%?

A. 5.0%

B. 5.7%

C. 6.5%

D. 8.0%

E. 9.1%

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