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Suppose that on January 1, 2021, the price of a one-year Treasury Bill---with face value of $1,000---is $941.09. Investors expect that the inflation rate will

Suppose that on January 1, 2021, the price of a one-year Treasury Bill---with face value of $1,000---is $941.09. Investors expect that the inflation rate will be 4% during 2021, but at the end of the year, the inflation rate turns out to have been 1%.

The nominal interest rate on the bill (measured as the yield to maturity) is____%. (Round

your response to two decimal places.)

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