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show work pleae The YTM on a bond is the interest rate you earn on your investment if interest rates don't change. If you actually
show work pleae
The YTM on a bond is the interest rate you earn on your investment if interest rates don't change. If you actually sell the bond before it matures, your realized return is known as the holding period yield (HPY). Suppose that two years ago, you bought a bond with an annual coupon rate of 7 percent, priced at $1,020 with 16 years to maturity, and $1,000 par value. Since then the Y TM of the bond has declined by 1 percent, and you decide to sell. What price will your bond sell for today? What is the HPY on this investment? $1,035.66;11.84%$1,232.66;10.22%$1,113.82;11.22%$1,125.67;10.87%Step by Step Solution
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