Question: please answer with handwritten formula work only, no spreadsheet/excel, thank you Problem 10. Consider following yield curve. Year 1 2 3 Spot rate 2% 2.5%

please answer with handwritten formula work only, no spreadsheet/excel, thank you

Problem 10. Consider following yield curve. Year 1 2 3 Spot rate 2% 2.5% 3% 4% 4 (a). A 4-year 1000 par value bond has an annual coupon rate of 4.8%. Use the yield curve above to find the price of the bond. (b). Find the one-year forward rate that is implied by the yield curve

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