Three years ago Quebec Hydro sold an issue of 20-year, 6.5% coupon bonds. Calculate an investors percent

Question:

Three years ago Quebec Hydro sold an issue of 20-year, 6.5% bonds. Calculate an investor’s percent capital gain for the entire three-year holding period if the current semiannually compounded return required in the bond market is:
a. 5.5%.
b. 6.5%.
c. 7.5%.
Coupon
A coupon or coupon payment is the annual interest rate paid on a bond, expressed as a percentage of the face value and paid from issue date until maturity. Coupons are usually referred to in terms of the coupon rate (the sum of coupons paid in a...