Question $15$

Two years ago, Bob purchased a $20-$year $$1,000$ par value zero$-$coupon bond for $$311\mathrm{.}80.$ If today $($with $18$ years to maturity$)$ the bond is priced to yield

$5\mathrm{.}40\%,$ what is his annualized return if he sells the bond?

Hint: Calculate the price of the bond today, and use as FV to calculate the return over $2$ years.

Your answer should be between $4\mathrm{.}02$ and $22\mathrm{.}46,$ rounded to $2$ decimal places, with no special characters.