What is the annual rate of return of investment

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Reference no: EM131997936

Suppose you purchase a? 10-year bond with 6.2 % annual coupons. You hold the bond for four? years, and sell it immediately after receiving the fourth coupon. If the? bond's yield to maturity was 5.3 % when you purchased and sold the? bond,

a. What cash flows will you pay and receive from your investment in the bond per $ 100 face? value?

b. What is the annual rate of return of your? investment?

Reference no: EM131997936

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