bond
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
#64
An investor buys a bond for
$5,000.
The bond pays
$144
interest every six months. After 18 months, the investor sells the bond for
$4,736.
Describe the types of income and/or loss the investor had.
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Follow-up Questions
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Follow-up Question
The current income is
$enter your response here.
(Round to the nearest dollar.)Part 2
The investor would experience
in the amount of
a capital gain
a capital gain
a capital loss
neither
$enter your response here.
(Choose from the drop-down menu and enter a loss as a negative number rounded to the nearest dollar.)Part 3
The total return on this investment is
$enter your response here.
(Round to the nearest dollar.)Solution
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