Question: Answer this question through excel and use only excel and show all formulas. A one-year Treasury bill has a yield of 6%. A bond will

Answer this question through excel and use only excel and show allAnswer this question through excel and use only excel and show all formulas.

A one-year Treasury bill has a yield of 6%. A bond will pay $70 at the end of year 1 and $1,070 at the end of year 2. If its market value is $1,036.50, the two-year spot rate is: (a) 6%. (b) 9%. (c) 7%. (d) 5%

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