Unit $17\mathrm{.}3$ Solving for interest rate earned

$19.$ Mike Scott purchased some vacant land $7$ years ago for $$34,700.$ He just sold the land for $$69,000.$ What interest rate, compounded annually, did Mike earn on the investment?

For Problems $20-24,$ assume you just bought a $6\mathrm{.}9\%$$$1,000$ bond for $$920,$ immediately after the annual interest payment was paid to the previous owner. The bond matures in $12$ years.

$20.$ What is the YTM$?$

$21.$ Why were you able to buy this bond for less than the $$1,000$ face value?

$22.$ Why was your YTM greater than the $6\mathrm{.}9\%$ coupon rate?

$23.$ You sell the bond in $6$ years for $$1,040,$ less brokerage fees of $$35.$ What is your yield during ownership?

$24.$ Why is your yield during ownership greater than the YTM$?$

$66$

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