What is the yearly return on the bond you are holding

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Reference no: EM131245318

Suppose you are holding a 5 percent coupon bond maturing in one year with a yield to maturity of 15 percent . If the interest rate on one year bonds rises from 15 percent to 20 percent over the course of the year what is the yearly return on the bond you are holding ? Please explain.

Reference no: EM131245318

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