What is expected rate of return for abner corporation

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Problem 1: Hoyden Corporation's $1,000 bonds mature in 15 years and pay 9% coupon interest semiannually. If you purchase the bonds for $1,175, what is your expected rate of return?

Problem 2: Abner Corporation's bonds mature in 15 years and pay 9% semi-annual coupons. If you purchased the bonds today for $1,250, what is expected rate of return?

Reference no: EM132906778

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