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12. If market rate is 12% and face value of $1000. Annual coupon bond with the coupon rate of 10%. The bond will be mature
12. If market rate is 12% and face value of $1000. Annual coupon bond with the coupon rate of 10%. The bond will be mature in 10 years from today. One year holding period return (HPR) can be calculated as a sum of current yield and capital gain yield. Compare HPR with the YTM.
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