Question
Investor buys a bond for $900. Bond pays $70 annual interest coupon. Investor holds bond for 5 years, reinvesting each interest coupon at 7%. 5
Investor buys a bond for $900. Bond pays $70 annual interest coupon. Investor holds bond for 5 years, reinvesting each interest coupon at 7%. 5 years later investor sells the bond for $1120. What was the total return for the investor?
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Cost Benefit Analysis
Authors: Harry F. Campbell, Richard P.C. Brown
3rd Edition
1032320753, 9781032320755
