If an investor invests in a bond that has $1,000 par and pays 7% coupons semi-annually, which
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If an investor invests in a bond that has $1,000 par and pays 7% coupons semi-annually, which matures in 3 years. Assume yield stays at 3% compound semiannually and all received coupon payments will be reinvested at 3% yield investment compound semiannually.
What is the investor's realized rate of return?
Related Book For
Intermediate Accounting
ISBN: 978-1119048534
11th Canadian edition Volume 1
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Nicola M. Young, Irene M. Wiecek, Bruce J. McConomy
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