Question: Gary Busey buys the Bond below: Coupon = 6 . 0 % , paid ANNUALLY ( once per year ) Face Value = $ 1
Gary Busey buys the Bond below:
Coupon paid ANNUALLY once per year
Face Value $
Purchase Price $
Maturity years
He plans on reinvesting all the coupon payments. If interest rates rise to right after Gary purchases the bond, what is the realized return on Gary's investment if he holds the bond until it matures?
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