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Bonds of Smiley Corporation with a par value of $ 1 , 0 0 0 sell for $ 9 6 0 , mature in five

Bonds of Smiley Corporation with a par value of $1,000 sell for $960, mature in five years, and have a 7% annual coupon rate paid semiannually. Calculate (a) Current yield, (b) Yield to maturity, and (c) Horizon yield (also called realized compound return) for an investor with a three-year holding period and a reinvestment rate of 6% over the period. At the end of three years, the 7% coupon bonds with two years remaining will be sold at yield to maturity of 7%. Please solve this problem with just Excel and nothing else.

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