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Today is 15 November 2021, Sandy just purchased a Treasury bond with a coupon rate of j2 = 3.105% p.a. and a face value of

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Today is 15 November 2021, Sandy just purchased a Treasury bond with a coupon rate of j2 = 3.105% p.a. and a face value of $100 that matures at par. The purchase price was $98.45. The maturity date of this bond is 15 May 2023. a) Use linear interpolation to calculate the yield rate. Give your answer in j2 form, rounded to 3 decimal places. Hint: 1.55% per half year and 2.35% per half year are the lower bound and the upper bound for the linear interpolation

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