Answer:
5.64%
Explanation:
In this question we use the RATE formula that is shown on the attachment
Kindly find it below:
Given that,
Present value = $75.75
Assuming figure - Future value or Face value = $1,000
PMT = 0
NPER = 5 × 2 = 10 years
The formula is shown below:
= Rate(NPER;PMT;-PV;FV;type)
The present value come in negative
So, after solving this, the yield to maturity is
= 2.82% × 2
= 5.64%
