Question: A 1 0 - year maturity bond with face value of $ 1 , 0 0 0 makes annual coupon payments. The coupon rate is

A 10-year maturity bond with face value of $1,000 makes annual coupon payments. The coupon
rate is 8% and is selling at face value right now. You plan to sell this bond in 1 year. What will be
the rate of return on the bond if its yield to maturity at the end of the year is 6%

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