(Answered) A newly issued 2-year discount bond has a face value has a

Management Studies

A newly issued 2-year discount bond has a face value has a face value of $2000 and currently sells for $1885.19 What is its yield or rate of return? Suppose you sell it next year when yields on comparably risky assets are 4% (.04). What rate of return did you earn over the year you held the asset?

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