What was the yield on the bond when you purchased it

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Reference no: EM132012751

suppose that iyou invested in a twenty-year zero coupon bond with a face value of $1000.

a) If the bond originally cost $543, what was the yield on the bond when you purchased it?

b) Suppose that today (four years later) comparable bonds are yielding 4.5%, if you sold the bond today, would you have a capital gain or loss?

Reference no: EM132012751

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