Question: You have $ 1 0 , 0 0 0 in a bond fund with an average yield of 6 % . Expected inflation over the

You have $10,000 in a bond fund with an average yield of 6%. Expected inflation over the life of your investment is 3%. What is the real rate of return on this investment?
Fisher Equation:
i=r+n^e
i-n^e=r
n^e=i-r][
You have $10,000 in a bond fund with an average yield

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