What rate of return will be earned by investor who


A bond has a face value of $1,000, a coupon of 6% paid annually, a maturity of 38 years, and a yield to maturity of 9%. What rate of return will be earned by an investor who purchases the bond for $679.28 and holds it for 1 year if the bond’s yield to maturity at the end of the year is 12%? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Negative amount should be indicated by a minus sign.)

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Financial Management: What rate of return will be earned by investor who
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