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An investor is considering the purchase of a(n)8.500%,15-year corporate bond that's being priced to yield 10.500%. She thinks that in a year, this bond will

image text in transcribed An investor is considering the purchase of a(n)8.500%,15-year corporate bond that's being priced to yield 10.500%. She thinks that in a year, this bond will be priced in the market to yield 9.500%. Using annual compounding, find the price of the bond today and in 1 year. Next, find the holding period return on this investment, assuming that the investor's expectations are borne out. The price of the bond today is $. (Round to the nearest cent.)

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