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Suppose the U.S. Treasury offers to sell you a bond for $788.77. No payments will be made until the bond matures 5 years from now,

Suppose the U.S. Treasury offers to sell you a bond for $788.77. No payments will be made until the bond matures 5 years from now, at which time it will be redeemed for $1,000. What interest rate would you earn if you bought this bond at the offer price?

Group of answer choices

5.40%

4.86%

6.00%

6.60%

4.37%

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