What is holding period return for the year

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An investor purchases a bond that matures in 7 years, has a par value of $1,000, and has a 4.5% coupon rate, paid annually. At the time she purchases the bond, the yield to maturity is 3%. One year later, when yields have fallen to 2%, she collects the annual coupon and sells the bond. What is her holding period return for the year?

Reference no: EM132046482

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