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Below are given the prices and maturities of zero-coupon bonds of the country X. Each bond has a face value of 1000. Maturity (years) Current
Below are given the prices and maturities of zero-coupon bonds of the country X. Each bond has a face value of 1000.
Maturity (years) | Current price |
1 | 952.38 |
2 | 942.60 |
3 | 928.60 |
What is the yield on the bond that matures in two years? Please write an answer in decimals. For example, 12.3% would be 0.123. Also, round your answer to the third decimal.
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