Answer Questions 1-3 completely

Please show all calculations. 1. Assuming that the expectations theory is correct theory of the term structure, calculate interest rates in the term structure for maturities of one to five years and plot the resulting yield curves for the following series of one-year interest rates over the next five years: a. 5%, 790,7%, 7%, 7% b. 5%, 4%, 4%, 4%, 4% 2. How does the after tax yield on a 1,000,000 municipal bond with a coupon rate of 8% paying interest annually compare with that of a 1,000,000 corporate bond with a coupon rate of 10% paying interest annually? Assume you are in 25% tax bracket. 3. Debt issued by Southeastern corporation currently yields 12%. A municipal bond of equal risk currently yields 8%. At what marginal tax rate would an investor be indifferent between the two bonds