What rate of return would she have earned


Last year, Joan purchased a $1,000 face value corporate bond with an 7% annual coupon rate and a 25-year maturity. At the time of the purchase, it had an expected yield to maturity of 13.99%. If Joan sold the bond today for $988.63, what rate of return would she have earned for the past year? Round your answer to two decimal places.

Request for Solution File

Ask an Expert for Answer!!
Finance Basics: What rate of return would she have earned
Reference No:- TGS0728042

Expected delivery within 24 Hours