Question: kindly help with a and b I will give you 3. Consider a 2-year coupon bond with a $1000 face value and a 10% coupon

 kindly help with a and b I will give you 3.

kindly help with a and b I will give you

3. Consider a 2-year coupon bond with a $1000 face value and a 10% coupon rate, its a. (10 points) Calculate the bond's yield to maturity. If the the annualized expected rate of inflation over the life of the bond is 8%, what is the real interest rate of this bond? b. (10 points) Calculate the current yield, the capital gain and the rate of return if the bond holder plans to sell it at the end of the 1st year

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