Question
Bond Prices and Interest Rate Changes A 7.5 percent coupon bond with 13 years left to maturity is priced to offer a 6.25 percent yield
Bond Prices and Interest Rate Changes A 7.5 percent coupon bond with 13 years left to maturity is priced to offer a 6.25 percent yield to maturity. You believe that in 1 year, the yield to maturity will be 7.0 present. If this occurs, what would be the total return of the bond in dollars and percentage terms?
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Real Estate Finance and Investments
Authors: William Brueggeman, Jeffrey Fisher
14th edition
73377333, 73377339, 978-0073377339
