What portion of this return represents capital gains, and what portion represents the current yield?

What portion of this return represents capital gains, and what portion represents the current yield?


FINANCE 6050 -Robert paid $1,000 for a 10-year bond with a coupon
Question # 00459603
Subject: Business    / Finance    
Due on: 01/10/2017
Posted On: 01/10/2017 05:38 AM
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Robert paid $1,000 for a 10-year bond with a coupon rate equal to 8 percent when it was issued on January 2. If Robert sold the bond at the end of the year in which it was issued for a market price of $925, what re-turn would he earn? What portion of this return represents capital gains, and what portion represents the current yield?

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