5.26% was the interest rate
Explanation:
The rate of return on the one-year bond is 5.26%.
The formulation framework for the abstract description of data blocks is omnipresent in R. The design matrix multiplication for the modeling function are always generated (e.g. lm). Note that the process of formulation determines the columns to be used in the concept matrix and the lines to preserve.
This is calculated using the formula R = (face value – initial price) / initial price.
= 10,000 - 9500 / 9500
= 5.26%
