Question: Karen needs $ 1 , 0 0 0 , 0 0 0 to retire in five years. There is a 5 - year annual coupon

Karen needs $1,000,000 to retire in five years. There is a 5-year annual coupon bond that has a YTM of
12.75% and sells at par.
If Karen buys the bond and the YTM moves to 10.75% before the first coupon payment, how much money
will Karen have for retirement?
If Karen buys the bond and the YTM moves to 14.75% before the first coupon payment, how much money
will Karen have for retirement?
Karen needs $1,000,000 to retire in five years. There is a

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