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$).$A$.$ Suppose that today you buy a $5\mathrm{.}6$ percent annual coupon bond

for $$930.$ The bond has $10$ years to maturity. What rate of return do

you expect to earn on your investment?B$.$ Two years from now, the YTM on your bond has declined by $1$

percent, and you decide to sell. What price will your bond sell

for? What is the HPY on your investment? Compare this yield to the

YTM when you frist bought the bond. Why are they

different?$$