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You buy an 9-year $1,000 par value bond today that has a 6.50% yield and a 6.50% annual payment coupon. In 1 year promised yields

You buy an 9-year $1,000 par value bond today that has a 6.50% yield and a 6.50% annual payment coupon. In 1 year promised yields have risen to 7.50%.

What would be the EAR be? And how do you calculate it? How does it compare to Holding period of 1 year?

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