Question: b. Calculate the forward rate for (i) the second year; (ii) the third year; (iii) the fourth year. Assume annual coupon payments. (Do not round
b. Calculate the forward rate for (i) the second year; (ii) the third year; (iii) the fourth year. Assume annual coupon payments. (Do not round intermediate calculations. Round your answers to 2 decimal places.)
| Maturity (years) | Price of Bond | ||
| 1 | $ | 930.00 | |
| 2 | 902.97 | ||
| 3 | 829.62 | ||
| 4 | 772.99 | ||
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