What nominal rate of return did the engineer receive from


On April 2, 1998, an engineer bought a $1000 bond of an American airline for $875. The bond paid 6% on its principal amount of $1000, half in each of its April 1 and October 1 semiannual payments;it repaid the $1000 principal sum on October 1, 2011. What nominal rate of return did the engineer receive from the bond if he held it to its maturity (on October 1, 2011)?

Request for Solution File

Ask an Expert for Answer!!
Business Economics: What nominal rate of return did the engineer receive from
Reference No:- TGS02601905

Expected delivery within 24 Hours