Rhea Anderson purchased a corporate bond at $500 a year ago, on which she received a coupon payment of $35. The price of the bond has now gone up to $525.
A) Compute Rhea's capital gains yield.
B) Compute Rhea's income yield.
C) Compute Rhea's investment return.

Question

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The Answer of Rhea Anderson purchased a corporate bond at $500 a year ago, on which she received a coupon payment of $35. The price of the bond has now gone up to $525.
A) Compute Rhea's capital gains yield.
B) Compute Rhea's income yield.
C) Compute Rhea's investment return.

Rhea Anderson Purchased a Corporate Bond at $500 a Year