Question: Consider a 5-year, $1000 par value bond with zero coupons. The yield to maturity today is 8%. We plan to buy this bond right now

Consider a 5-year, $1000 par value bond with zero coupons. The yield to maturity today is 8%. We plan to buy this bond right now (t=0), and sell it two years later (t=2). If the yield to maturity decreases to 6% after we buy this bond, and if we wait until time t=2 to sell this bond, what would be our annualized holding period return?

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