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Q5) Bond P is a premium bond with a 9% coupon. Bond D is a 6% coupon bond currently selling at a discount. Both bonds

Q5) Bond P is a premium bond with a 9% coupon. Bond D is a 6% coupon bond currently selling at a discount.

Both bonds make annual payments, have a YM of 7%, and have 5 years to maturity. If interest rates remain unchanged, what is the expected capital gains yield over the next year for bond D?

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