Elon purchased a newly-issued Solaris Inc. bond, with a face value of $1,000, a coupon rate of 10% and semi-annual coupons. The bond, which had a 30-year maturity was purchased par value. Ten years later, Elon decided to sell the bond. At the time of sale, the bonds YTM is 13%. Over his ten-year holding period Elon was able to reinvest the coupons at the bonds original YTM.

1. Calculate the price of the bond at date of purchase and at date of sale

2. What is the YTM of the bond at the purchase date?

3. Calculate the future value of the re-invested coupons at date of sale

4. Calculate the annualized realized rate of return (ROR)