What is her holding period return on the


Your grandmother currently owns bonds that will mature in 7 years. The face value of these bonds is $1,000, and their coupon rate is 8%, with interest paid annually. Currently the yield to maturity is 12%. She bought these bonds one year ago at a price of $1,000, and just received her annual coupon interest payment. What is her holding period return on the bonds? (Use annual compounding.) Please show all work, not on excel.

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Financial Management: What is her holding period return on the
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