Answer all parts for question 4 (a &b), answer question 5. Please show all work

4. The one-year interest rate over the next 10 years will be: 3%,45%, 6%, 7.5%, 9%, 10.5%, 13%, 14.5%, 16%, and 17.5%. a. Using the expectations theory, what will be the interest rates on a three year bond, a six year bond and a nine year bond? b. A liquidity premium of 10 basis points is required for each year of bond maturity. Using the liquidity premium theory, what will be the interest rates on a three year bond, a six year bond and a nine year bond? 5. If the interest rates on one to five-year bonds are currently 4%, 5%, 6%, 7% and 8%, predict what the one year interest rate will be two years from now