You buy a bond for $1000 today that promises interest of $50 in one year plus the return of your principal. However, the probability that the company will default and not pay you either interest nor repay your principal is 1 percent. The expected return on the bond is ____ percent

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You buy a bond for $1000 today that promises interest of $50 in one year plus the return of your principal. However, the probability that the company will default and not pay you either interest nor repay your principal is 1 percent. The expected return on the bond is ____ percent

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