What is the hpy


Suppose that today you buy a 12 percent annual coupon bond for $1,364.87. The bond has 17 years to maturity. You expect to earn a rate of 7.99 percent on your investment.two years from now, the YTM on your bond has declined by 1 percent, and you decide to sell. Your bond will sell for $1456.59 and the HPY on your investment is ________ percent.

What is the HPY?

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Finance Basics: What is the hpy
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