You hold a Jones Corporation 5.5 percent coupon bond with a face value of $1,000 that sells for $990 today.

 You bought the bond one year ago for $960.  If the inflation rate last year was 2.5 percent, what was your total real rate of return on this investment?<table><tbody><tr><td> </td> <td> </td> <td> -3.80 percent </td> </tr><tr><td> </td> <td> </td> <td> 5.50 percent </td> </tr><tr><td> </td> <td> </td> <td> 6.20 percent </td> </tr><tr><td> </td> <td> </td> <td> 7.68 percent </td> </tr><tr><td> </td> <td> </td> <td> 8.85 percent </td> </tr></tbody></table>

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