Consider a three-year 6% coupon bond selling at par value, annual coupon. If the investor of the bond holds the bond till maturity and manages to invest all the coupons at 8% after receiving them, what is the Realized Compound Return for their 3-year investment?

Answer rating: 100% (QA)

3year 6 coupon bond at par 100 Annual coupon is 6 of par 6 per year ... View the full answer