A bond investor has 4-year investment horizon. use the following bond date for the following questions ( semiannual bond)

Bond

par $1000

years 15

coupon 7%

market price ($913.54)

YTM 8%

reinvestment 6%

At the end of year 4, the new investor is expected to get a YTM of 7%.

1- How much is the total coupon payment plus interest on interest on this bond?

2- What is the sale price at the end of year 4?

3- What is the annual total return on this investment? (hint, you will have to calculate something else first)