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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 for 6 years, and then sell the bond right after receiving the 12 th coupon payment. As it turns out, your reinvestment rate for the coupons was different than you expected, at a nominal rate of 8 percent (semi-annual r ounding) for the 6 years. Also, after 6 years, when you sell the bond, the YTM was 9 pi at. Given this information, determine the realized compounded yield you earned over this 6-year period.
Enter your answer in decimal format, to 4 decimal places, truncated. For example, if your answer is 5.636%, enter 0.0563.
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