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Suppose you buy a bond of General Electric at a price of $980.50. The bond pays coupons semi-annually, has an annual coupon rate of 6%,
Suppose you buy a bond of General Electric at a price of $980.50. The bond pays coupons semi-annually, has an annual coupon rate of 6%, a face value of $1,000 and will mature in six months' time. You intend to hold the bond till it matures.
What is the 6-month HPR?
I know how to find APR and EAR. I know the formula for HPR (in this scenario) is P1-P0/P0 + C/P0. I'm having trouble recreating the same coupon $ my professor showed in class. I seem to be doing something wrong when finding "C". Please respond ASAP, if possible.
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