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Suppose you purchased the 3-year Air Canada bond with a coupon rate of 10% p.a. at $1,000 on day 1. The coupons are payable annually.

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Suppose you purchased the 3-year Air Canada bond with a coupon rate of 10% p.a. at $1,000 on day 1. The coupons are payable annually. One year later, you received the first coupon and sold the bond. Market yield was 12% at the time of your sales. What is the holding period rate of return on your bond investment? . 3.6% O b. 5.6% O c. 6.6% O d. 7.6% O e. none of the above

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