Question
Assume an investor buys a newly issued coupon rate of 5 percent, semi-annual 18 year bond at par. He sells it two years later,
Assume an investor buys a newly issued coupon rate of 5 percent, semi-annual 18 year bond at par. He sells it two years later, when market interest rates change to 6 percent. How much is the investor's capital gain or loss? (please use or round to 2 decimal places, for example, if your answer is -$78.801, which indicates loss, enter -78.80; if your answer is $100, which indicate gain, enter 100.00)
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Cost Accounting A Managerial Emphasis
Authors: Charles T. Horngren, Srikant M. Datar, Madhav V. Rajan
15th edition
978-0133428858, 133428850, 133428702, 978-0133428704
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