Question: Please help question 2 and 3. 2. If a company decides to issue a 2-year semi-annual coupon bond priced at par. Face value of the

Please help question 2 and 3.

2. If a company decides to issue a 2-year semi-annual coupon bond priced at par. Face value of the bond is $1000. What should be the coupon rate of this bond if markets are efficient? The company is rated AA from Standard and Poors. The term structure of interest rate for AA rating is as follows (the rates are quoted in semi-annual compounding): 3. Calculate the following to complete the table below (in semi-annual rates)

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