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You will purchase a bond today and want to maximize your one-year holding period return. There are four bonds in the economy, and the yield

You will purchase a bond today and want to maximize your one-year holding period return. There are four bonds in the economy, and the yield to maturity is currently 8%. You strongly believe that within the next year the yield to maturity will decrease to 5%. Which bond will you purchase today?

A) A one-year Zero Coupon Bond.

B) A five-year Coupon Bond with Coupon Rate of 10%

C) A ten-year Coupon Bond with Coupon Rate of 10%

D) A ten-year Coupon Bond with Coupon Rate of 15%

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