Last year Janet purchased a $1,000 face value corporate bond with a 10% annual coupon rate and a 10-year maturity. At the time of the purchase, it had an expected yield to maturity of 12.51%. If Janet sold the bond today for $979.07, what rate of return would she have earned for the past year? Do not round intermediate calculations. Round your answer to two decimal places. %

Last year Janet purchased a $1,000 face value corporate bond with a 10% annual coupon rate and a 10-year maturity. At the time of the purchase, it had an expected yield to maturity of 12.51%. If Janet sold the bond today for $979.07, what rate of return would she have earned for the past year? Do not round intermediate calculations. Round your answer to two decimal places. %

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter8: Analysis Of Risk And Return

Section: Chapter Questions

Problem 9P

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