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You buy an eleven-year bond that has a 8.25% current yield and a 8.25% coupon (paid annually). In one year, promised yields to maturity have
You buy an eleven-year bond that has a 8.25% current yield and a 8.25% coupon (paid annually). In one year, promised yields to maturity have risen to 9.25%. What is your holding-period return? homework explanation says:Using a financial calculator, FV = 1,000, n = 10, PMT = 82.50, and i = 9.25 gives us a selling price of $936.52 this year. but when I plugged it in the calculator i get 984.96? please help explain why I'm getting wrong answer in financial calc. answer is 1.9%
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