What interest rate per six months was earned by the company

Reference no: EM13304698

A small company bought a BMI bond at its face value on January 1st, 1995. This bond pays interest of 1.25% every six months. The face value of the bond is $100,000 and it matures on December 31, 2006. On January 1, 2005, this bond was sold for 110,000 dollars. What interest rate per six months was earned by the company on the BMI bond?

Reference no: EM13304698

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