You have until 3:58 PM to complete this assignment. Intro Treasury spot rates are as follows in today's market: Part 3 - Attempt 1/3 for 10 pts. Now compute the yield to maturity and check with Part 2 4+ decimals Maturity 1 2 3 (years) Spot rate 2% 2.8% 3.9% Submit Attempt 1/3 for 10 pts. Part 1 One year ago, a 3-year Treasury note ($1,000 face value, 4.8% coupon rate and pays annual coupon) was issued and today it has two years left to maturity and two cashflows left to pay. What is the fair value today of this security? Part 4 - Attempt 1/2 for 10 pts. What if this security is under-priced but greater than $1,000 in today's market, what must be true about the YTM? 0+ decimals Check all that apply: YTM > 3.9% OYTM must be greater than that computed in Part 3 YTM YTM > 2.8% YTM YTM > 2% Submit Check all that apply: 2.8% > YTM > 2% YTM is the arithmetic average of 1-yr. 2-yr and 3-yr Treasury spot rates YTM 3.9% YTM is the arithmetic average of 1-yr and 2-yr Treasury spot rates OYTM is the complex average of 1-yr and 2-yr Treasury spot rates 3.9% > YTM > 2.8% Part 5 Attempt 1/3 for 10 pts. Following Part 4, it is under-priced but greater than $1,000, suppose at a market price of $1,010, what is the YTM? (check if consistent with your predictions in Part 4) 4+ decimals Submit Submit PIC.COLLAGE You have until 3:58 PM to complete this assignment. Intro Treasury spot rates are as follows in today's market: Part 3 - Attempt 1/3 for 10 pts. Now compute the yield to maturity and check with Part 2 4+ decimals Maturity 1 2 3 (years) Spot rate 2% 2.8% 3.9% Submit Attempt 1/3 for 10 pts. Part 1 One year ago, a 3-year Treasury note ($1,000 face value, 4.8% coupon rate and pays annual coupon) was issued and today it has two years left to maturity and two cashflows left to pay. What is the fair value today of this security? Part 4 - Attempt 1/2 for 10 pts. What if this security is under-priced but greater than $1,000 in today's market, what must be true about the YTM? 0+ decimals Check all that apply: YTM > 3.9% OYTM must be greater than that computed in Part 3 YTM YTM > 2.8% YTM YTM > 2% Submit Check all that apply: 2.8% > YTM > 2% YTM is the arithmetic average of 1-yr. 2-yr and 3-yr Treasury spot rates YTM 3.9% YTM is the arithmetic average of 1-yr and 2-yr Treasury spot rates OYTM is the complex average of 1-yr and 2-yr Treasury spot rates 3.9% > YTM > 2.8% Part 5 Attempt 1/3 for 10 pts. Following Part 4, it is under-priced but greater than $1,000, suppose at a market price of $1,010, what is the YTM? (check if consistent with your predictions in Part 4) 4+ decimals Submit Submit PIC.COLLAGE