A. Calculate the corresponding spot rates.B. What is the value of a 1.5 year , 4% semi-annual pay bond with a par value of $100?

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Assume the current 6-month rate is 3.5% and the 6-month forward rates (all on a semi-annual bond basis) are those in the following table: Periods from now One-period forward rates 1 3.8% (i.e., 6 months) 2 4.0% 3 4.4% 4 4.8% Assume the current 6-month rate is 3.5% and the 6-month forward rates (all on a semi-annual bond basis) are those in the following table: Periods from now One-period forward rates 1 3.8% (i.e., 6 months) 2 4.0% 3 4.4% 4 4.8%