Prepare a written response: 1. Based on the yield curve below, answer the following questions. a. What is its shape? Why? b. What does it indicate about current long-term and short-term interest rates? C. What does it indicate about expected future interest rates? Yield 4.50% 4.00% 3.50% 3.00% 2.50% 2.00% 1.50% 1.00% 0.50% 0.00% 30-day 6-month 5-year 10-year 30-year 2. For a given investment, the real rate of interest is 7.3% and the investment's nominal rate of return is 13.7% a. Why are these two rates different? What is the difference in what they measure? b. How are these two rates related