Suppose you purchase a 10-year bond with

8%

annual coupons. You hold the bond for four years and sell it immediately after receiving the fourth coupon. If the bond's yield to maturity was

6.48%

when you purchased and sold the bond,

a. What cash flows will you pay and receive from your investment in the bond per $100 face value?

b. What is the internal rate of return of your investment?

Note:

Assume annual compounding.