1) A. Use Table 1 below to find the short rate that will prevail in the fourth year. Confirm that the discount factor on the 4-year zero is a geometric average of (1 the short rates) in the next 4 years show that the rate ofretum on the 3-year zero in Table 1 below also will be 5%. Table 1 Maturity (years) Yield to Maturity (%) Price $952.38 $1,000/1.05 890.00 $1,000/1.062 $816.30 $1,000/1.073 $735.03$1,000/1.084 5% 6 4 8