1. Calculate the price of a five-year bond that has a coupon rate of 8% paid annually. The current market rate is 5.75%
Calculate the expected capital gains yield for the coming year.
2. Solving for Rates What annual rate of return is earned on a $2,000 investment when it grows to $4,500 in eleven years?
2.25%
1.25%
6.99%
7.65%