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Chapter 14 Save & Exit Submit Saved Help Check my work 14 A newly issued bond pays its coupons once annually. Its coupon rate is 8.2%, its maturity is 20 years, and its yield to maturity is 10% a. Find the holding-period return for a 1-year investment period if the bond is selling at a yield to maturity of 9% by the end of the year. (Do not round intermediate calculations. Round your answer to 2 decimal places.) 1 points Holding-period return eBook Print References b. If you sell the bond after one year, what taxes will you owe if the tax rate on interest income is 40% and the tax rate on capital gains income is 30%? The bond is subject to original-issue discount tax treatment. (Do not round intermediate calculations. Round your answers to 2 decimal places.) Tax on interest income Tax on capital gain Total taxes Chapter 14 Save & Exit Submit Saved Help Check my work 14 A newly issued bond pays its coupons once annually. Its coupon rate is 8.2%, its maturity is 20 years, and its yield to maturity is 10% a. Find the holding-period return for a 1-year investment period if the bond is selling at a yield to maturity of 9% by the end of the year. (Do not round intermediate calculations. Round your answer to 2 decimal places.) 1 points Holding-period return eBook Print References b. If you sell the bond after one year, what taxes will you owe if the tax rate on interest income is 40% and the tax rate on capital gains income is 30%? The bond is subject to original-issue discount tax treatment. (Do not round intermediate calculations. Round your answers to 2 decimal places.) Tax on interest income Tax on capital gain Total taxes