Which of the following represents the equation that would be used to determine the yield to maturity of a corporate bond with a face value of $1000, price of $1100, coupon rate of 5%, and maturity in three years?
A) $1100 = $1500/(1 + i)3
B) $1100 = $500/(1 + i) + $500/(1 + i)2 + 1000/(1 + i)3
C) $1100 = $500/(1 + i) + $500/(1 + i)2 + 500/(1 + i)3
D) $1100 = $500/(1 + i) + $500/(1 + i)2 + 1500/(1 + i)3
D
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