Suppose, three years ago, you purchased a 15-year coupon bondpaying 5% interest annually with a face value of $1000. It is nowthree years later and you just received an interest paymentyesterday (the bond matures in exactly twelve years). You look inthe paper and the yield on comparable debt is 6%. If you bought itat Par value, did you have a capital gain or loss? Also, if theyield decreased to 4.5%, would you have a capital gain or loss, orcould you tell?
Group of answer choices
Capital Gain; CapitalGain
Capital Gain; Capital Loss
Capital Loss; Capital Loss
none of them
Capital Loss; Capital Gain
