You buy a 12-year 10% annual coupon bond at par value, $1,000. You sell the bond 3

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You buy a 12-year 10% annual coupon bond at par value, $1,000. You sell the bond 3 years later for $1,100. What is your total rate of return over this 3-year period?

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Corporate Finance

ISBN: 978-0077861759

10th edition

Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe

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Posted Date: Feb 18, 2023 12:07 AM

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You buy a 12-year 10% annual coupon bond at par value, $1,000. You sell the bond 3

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The total rate of return on the bond investment consists of two components the annual interest pa... View the full answer

Corporate Finance

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