Question: Two years ago, you acquired a 10-year zero coupon, $1,000 par value bond at a 12 percent YTM. Recently, you sold this bond at an

Two years ago, you acquired a 10-year zero coupon, $1,000 par value bond at a 12 percent YTM. Recently, you sold this bond at an 8 percent YTM. Using semiannual compounding compute the annualized horizon return for this investment.

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