Question: Use the bond term's below to answer the question Maturity 8 years Coupon Rate 3% Face value $1,000 Annual Coupons Market Interest Rate 5% Assuming

Use the bond term's below to answer the question

Maturity 8 years

Coupon Rate 3%

Face value $1,000

Annual Coupons

Market Interest Rate 5%

Assuming the YTM remains constant throughout the bond's life, what is percentage capital gains/loss between periods 4 and 5?

Group of answer choices

1.86%

1.82%

1.70%

1.77%

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