Question: 5 . ( ( mathbf { 2 0 } ) points in total ) A ( 6 - ) month

5.(\(\mathbf{20}\) points in total) A \(6-\) month zero-coupon bond with a face value of \(\$ 100\) is currently selling for \(\$ 98\). In addition, a 1-year bond with a face value of \(\$ 100\), offering a \(5\%\) annual coupon rate with semi-anntal payments, is priced at \(\$ 100\).
a) Calculate the 6-month and 1-year continuously compounded zero rates. (10 points)
b) Determine the forward rate between the 6-month and 1-year periods. (10 points)
5.(\(\mathbf{20}\) points in total) A \(6-\) month zero-coupon bond with a

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