Chapter 16 Saved Help Save & Exit Submit Check my work A 30-year maturity bond has a 5.5% coupon rate, paid annually. It sells today for $881.35. A 20-year maturity bond has a 5.0% coupon rate, also paid annually. It sells today for $891.7. A bond market analyst forecasts that in five years, 25-year maturity bonds will sell at yields to maturity of 6.5% and 15-year maturity bonds will sell at yields of 6.0%. Because the yield curve is upward sloping, the analyst believes that coupons will be invested in short-term securities at a rate of 7.4%. points a. Calculate the (annualized) expected rate of return of the 30-year bond over the 5-year period. (Round your answer to 2 decimal places.) Skipped 30-year bond % eBook Print References b. What is the (annualized) expected return of the 20-year bond? (Round your answer to 2 decimal places.) 20-year bond