Question: 3) You bought a 5% coupon, $1000 face value, five-year bond at par three years ago. What annual rate did you expect to make when

3) You bought a 5% coupon, $1000 face value, five-year bond

3) You bought a 5% coupon, $1000 face value, five-year bond at par three years ago. What annual rate did you expect to make when you made that investment? At the beginning of the second year, this bond's discount rate rose to 12%. You sold the bond today. What average annual return did you make over the three years that you held this bond

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