Problem:
On the issue date, you bought a 30-year maturity, 8% semi-annual coupon bond. The bond then sold at YTM of 7%. Now, 5 years later, the similar bond sells at YTM of 9%.
Required:
Question: If you hold the bond now, what is your realized rate of return for the 5 year holding period?
Note: Please provide reasons to support your answer.