Problem:
When originally issued, the bonds were sold for $960 per bond; today their current market price is $1,065 per bond and company pays a semiannual interest of $45 per bond.
Required:
Question: If an investor purchases a bond 10 years ago when the bond was first issued and sold the bond today, what is the rate of return received by the investor?
Note: Solve the problem and show all work.