The yield to maturity on $1-$year zero$-$coupon bonds is currently $7\%$; the YTM on $2-$year zeros is $8\%.$ The Treasury plans to issue a $2-$year maturity coupon bond, paying coupons once per year with a coupon rate of $9\%.$ The face value of the bond is $$100.$

Required:

At what price will the bond sell?

Note: Do not round intermediate calculations. Round your answer to $2$ decimal places.

What will the yield to maturity on the bond be$?$

Note: Do not round intermediate calculations. Round your answer to $3$ decimal places.

If the expectations theory of the yield curve is correct, what is the market expectation of the price for which the bond will sell next year?

Note: Do not round intermediate calculations. Round your answer to $2$ decimal places.

Recalculate your answer to part $($c$)$ if you believe in the liquidity preference theory and you believe that the liquidity premium is $1\%.$

Note: Do not round intermediate calculations. Round your answer to $2$ decimal places.