Question: Question 13 10 points A bond with a coupon rate of 90% has a yield to maturity that today equals 105% The $1.000 bond pays

Question 13 10 points A bond with a coupon rate of 90% has a yield to maturity that today equals 105% The $1.000 bond pays coupons every 6 months 23 coupons remain, and a coupon was paid yesterday Suppose you buy this bond and hold it so that you receive 11 coupons You sell the bond upon receiving that last coupon Suppose that when you sell the bond its yield.to matunty has increased by 65 basis points (1%=100bp) What would have been your annual rate of return for the bond investment? 7.95 5.944 1000 11. Question 13 10 points A bond with a coupon rate of 90% has a yield to maturity that today equals 105% The $1.000 bond pays coupons every 6 months 23 coupons remain, and a coupon was paid yesterday Suppose you buy this bond and hold it so that you receive 11 coupons You sell the bond upon receiving that last coupon Suppose that when you sell the bond its yield.to matunty has increased by 65 basis points (1%=100bp) What would have been your annual rate of return for the bond investment? 7.95 5.944 1000 11

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