Question: 1 . A $ 1 , 0 0 0 face - valued bond has a 1 0 % coupon rate, its current price is $

1. A $1,000 face-valued bond has a 10% coupon rate, its current price is $960, and its price isexpected to increase to 5980 next year. Calculate the current yield, the expected rate of capital gain, and the expected rate of return.
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