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Question 3: A bond has a par value of $1.000, a time to maturity of 10 years, and a coupon rate of 8% with interest
Question 3: A bond has a par value of $1.000, a time to maturity of 10 years, and a coupon rate of 8% with interest paid annually. If the current market price is $800, what will be the approximate capital gain yield of this bond over the next yeac if its yield to maturity remains unchanged? ILO IN-8)
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