What is the total return on the stock

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Jenny Clayton is looking to invest in some 5-year bonds that pay annual coupons of 6.25 percent on a face value of $1,000 and are currently selling for $588.79. What is the yield to maturity on these bonds?

A. 5 percent

B. 10 percent

C. 15 percent

D. 20 percent

2. Friendly Airlines stock is currently selling for $40.00 per share. If the stock pays a dividend of $2.00 and the stock price in one year is $46.00, what is the total return on the stock?

A. 5%

B. 10%

C. 15%

D. 20%

Reference no: EM131319164

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