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Percentage gain on the sale of the bond

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Suppose that you invest in a 10-year, semi-annual coupon, $1,000 par value bond when it is first issued. The coupon rate and yield to maturity are equal both 8 percent. Immediately after purchase, the annual yield to maturity for the bond falls to 7 percent. What is your percentage gain (loss) on the sale of the bond (use duration to find the answer)?

Reference no: EM132494298

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