Solve using excel and it's functions: On December $31$st$,2004,$ your grandmother decided to buy a $30-$year Government of Canada bond. The bond had a face value of $$1,000,000.$ The annual coupon rate on the bond was $4\mathrm{.}40\%.$ Coupons were paid semi$-$annually. On December $31$st$,2004,$ the yield to maturity on Government of Canada bonds was $3\mathrm{.}70\%$ per year. $($The term structure of interest rates was flat.$)$

After holding the bond for $20$ years, your grandmother decided to sell the bond on December $31$st$,2024.$ Prior to selling the bond, your grandmother received the December $31$st$,2024$ coupon payment. On December $31$st$,2024,$ the yield to maturity on Government of Canada bonds had increased to $4\mathrm{.}10\%$ per year. $($The term structure of interest rates, or the yield curve was flat.$)$

a$)$ How much did your grandmother pay for the bond on December $31$st$,2004?$

b$)$ How much did your grandmother sell the bond for on December $31$st$,2024?$

c$)$ What was the rate of return that your grandmother earned on her investment during the $20$ years?

i$.$ Quote it as an effective periodic rate.

ii$.$ Quote it as an effective annual rate.

d$)$ What would have been your grandmother$$s rate of return on her investment if she had held the bond until maturity instead?

i$.$ Quote it as an effective periodic rate.

ii$.$ Quote it as an annual percentage rate. What do you notice about this rate?