Answer:
10.04%
Explanation:
For computing the yield to maturity we use the RATE formula i.e to be shown in the attachment below:
Given that,
Present value = $1,000 × 102% = $1,020
Assuming figure - Future value or Face value = $1,000
PMT = 1,000 × 10.3% ÷ 2 = $51.5
NPER = 17 years - 2 years × 2 = 30 years
The formula is shown below:
= Rate(NPER;PMT;-PV;FV;type)
The present value come in negative
After applying the above formula, the yield to maturity is
= 5.02% × 2
= 10.04%
