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Your are given the following informatior concerning a noncallable, sinking fund debenture Principal: S 1 , 0 0 0 Coupon rate of interest: 7 percent

Your are given the following informatior concerning a noncallable, sinking fund debenture Principal: S1,000 Coupon rate of interest: 7 percent Term to maturity: 13 vearsSinking fund: 4 percent of outstanding bonds retired annually; the balance at maturitya. If you buy the bond today at its face amount and interest rates rise to 13 percent after five years have passed, what is your capital gain or loss? Assumi that the bond pays interest annually. Use Appendix 3 and Appendix D to answer the question. Use a minus sign to enter the loss amount, it any, as anegative value. Round vour answer to the nearest dollar
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