All questions are worth 20 points. For problems 1, 3, and 4 use the following risk adjusted interest-rate tree: U1 2% 3;? 2.5%, y'f = 1.5% y?\" 3%, 311\" = 2%, y'fd = 1% 1 Puttable bonds Consider a coupon bond with face value M = 100 and time to maturity n = 2. The bond is puttable at par at time 1. Assume an OAS of 0.10%. Calculate the coupon C such that the puttable bond trades at par. (Use the Goal Seek Excel function.) Also, compute the zspread and the option cost