Matt is interested in an investment instrument with the following features:

(i) He will receive payments of $12,000 at the end of each year for ten years. Upon receiving each payment, he will deposit them to an account that earns at a nominal annual rate of 4% compounded quarterly.

(ii) At the end of each year, the interest earned is reinvested at a nominal annual rate of 3% compounded monthly.

If Matt will hold on to this investment for fifteen years and is willing to pay $75,500 for this investment instrument, determine his yield rate over the fifteen-year period.

ACTUARIAL NOTATION PLEASE