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You buy a 1 0 - year bond that will mature for $ 1 , 0 0 0 and has a coupon rate of 1

You buy a 10-year bond that will mature for $1,000 and has a coupon rate of 12 percent. paid semi-annually ($60 every six months). Also, the yield-to-maturity (YTM) on this bond is 10 percent Your plan is to hold this bond until it matures. As it turns out, your reinvestment rate for the coupons was different than you expected, at a nominal rate of 8 percent (semi-annual compounding) for the 10 years. Given this information, determine the realized compounded yield you earned over this 10-year period.

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