What rate of return did you earn on the bond during the year

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Reference no: EM131305474

Suppose that you just bought a four-year $1,000 coupon bond with a coupon rate of 6% when the market interest rate is 6%. One year later, the market interest rate falls to 4%.

What rate of return did you earn on the bond during the year?

Reference no: EM131305474

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