The bond the yield on such bonds decreased

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Suppose you bought an A-rated, 20-year maturity, 8% coupon bond with face value of $1,000 and semi-annual coupon payments. Suppose that immediately after you bought the bond the yield on such bonds decreased from 10% to 9% and remains at 9% until you sell the bond at the end of two years. What is your total return for two years?

Reference no: EM131448539

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