Business
Business, 12.03.2021 20:10, Homepage10

You purchase a bond with 10% annual coupon rate and $1,000 face value. The bond has 4 years to maturity. You pay $951 for this bond, which means that this bond yields 11.6%. You decide to sell this bond in one year; right after the issuer makes a coupon payment. If the market interest rates at the time of sale have decreased to 6%p. a., what is your (nominal) realized rate of return

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You purchase a bond with 10% annual coupon rate and $1,000 face value. The bond has 4 years to matur...

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