Question: Please explain in detail how you come up with your answer and step by step using a financial calculator:
On the issue date, you bought a 30-year maturity, 5.85% semi-annual coupon bond. The bond then sold at YTM of 6.25%. Now, 5 years later, the similar bond sells at YTM of 5.25%. If you hold the bond now, what is your realized rate of return for the 5-year holding period?