What would be your total real return on the investment

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Reference no: EM131620590

You bought one of Bergen Manufacturing Co.'s 6.8 percent coupon bonds one year ago for dollar1, 054. These bonds make annual payments and mature fifteen years from now. Suppose you decide to sell your bonds today when the required return on the bonds is 5 percent. If the inflation rate was 3.6 percent over the past year, what would be your total real return on the investment? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

Reference no: EM131620590

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