Bond Price: $2000 Yearly Coupon Payment: 8% Years to Maturity: 10 Years Bond is sold at the
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Question:
Bond Price: $2000
Yearly Coupon Payment: 8%
Years to Maturity: 10 Years
Bond is sold at the end of 3rd year.
Inflation in 3rd Year: 2%
Forecasted required return: 4%
What is the real return of the bond over the 3 year?
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
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