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Assume you purchase ( at par ) a 1 0 - year bond with a 6 percent coupon and a $ 1 , 0 0

Assume you purchase (at par) a 10-year bond with a 6 percent coupon and a $1,000 face value. Suppose you are only able to reinvest the coupons at a rate of 4 percent. If you sell the bond after five years when the yield to maturity is 7 percent, what is your realized yield?
Solve the problem by using appropriate formula and calculation.

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