Question: C. 2- The boot strap method. tion 18 17 out of 20 po Use table B to Calculate Zero Rates for maturities of 6 months,

C. 2- The boot strap method. tion 18 17 out of

C. 2- The boot strap method. tion 18 17 out of 20 po Use table B to Calculate Zero Rates for maturities of 6 months, 12 months and 18 months (1.5yrs). Note the annual coupon is paid semiannually! (Hint: As shown in class if $99 present value will give you $100 in 6 months with continuous compounding what is the zero rate? DO that for the ones you can and then substitute your answers to solve for the one with the coupons) Notice this question is worth 20 points

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