Question
You purchased a 4-year annual interest coupon bond one year ago. Its coupon rate is 5% and its par value is $1,000. At the time
You purchased a 4-year annual interest coupon bond one year ago. Its coupon rate is 5% and its par value is $1,000. At the time you purchased the bond, the yield to maturity was 4%. You sold the bond immediately after receiving the first interest payment when the bond's yield to maturity was 5%. What is your holding period return?
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Financial and Management Accounting
Authors: Pauline Weetman
7th edition
1292086599, 978-1292086590
