23. Rate of Return. A bond that pays coupons annually is issued with a coupon rate of...

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23. Rate of Return. A bond that pays coupons annually is issued with a coupon rate of 4%, matu- rity of 30 years, and a yield to maturity of 7%. What rate of return will be earned by an investor who purchases the bond and holds it for 1 year if the bond's yield to maturity at the end of the year is 8%? (LO3)

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Fundamentals Of Corporate Finance

ISBN: 9780073382302

6th Edition

Authors: Richard A Brealey, Stewart C Myers, Alan J Marcus

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