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Bond Valuation Bond A has a 9% annual coupon, matures in 12 years, and has a $1,000 face value. Bond B has a 10% annual

Bond Valuation

Bond A has a 9% annual coupon, matures in 12 years, and has a $1,000 face value.

Bond B has a 10% annual coupon, matures in 12 years, and has a $1,000 face value.

Bond C has an 8% annual coupon, matures in 12 years, and has a $1,000 face value.

Each bond has a yield to maturity of 9%.

Please answer the following 3 questions in the format below for each.

  1. What is the expected current yield for each bond in each year? Round your answers to two decimal places.
  2. What is the expected capital gains yield for each bond in each year? Round your answers to two decimal places.
  3. What is the total return for each bond in each year? Round your answers to two decimal places.
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