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Calculate the total return on a 10% coupon bond that matures 10 years from now is the interest rates on similar risk-class bonds are 7.5%
Calculate the total return on a 10% coupon bond that matures 10 years from now is the interest rates on similar risk-class bonds are 7.5% now and will be 8.5%
next year and 9.5% thereafter. Assume that the investment horizon is 5 years.
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