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An investor can buy a bond for $35,000 that will pay $40,000 in a year.? |
1 .What is the rate of return on this bond? Buy that sucker. The Fed has been lowering interest rates, you would be lucky to get 5% return on a fixed income investment. Heck, I got 300K if you had some decent rated bond, BBB or better, paying that rate, let me know I will buy it. |
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