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Calculate the expected holding period return for an investor who purchases a 5.5% two-year bond and plans to sell it after one year. The purchase
Calculate the expected holding period return for an investor who purchases a 5.5% two-year bond and plans to sell it after one year. The purchase price is $97.350, the expected market rate for a one year bond in one year is 7.20% and the bond pays coupon interest annually. The bond has a $100 face value.
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