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14. Suppose that all investors expect that interest rates for the 4 years will be as follows: Year 0 1 2 3 Forward Interest Rate

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14. Suppose that all investors expect that interest rates for the 4 years will be as follows: Year 0 1 2 3 Forward Interest Rate (today)6% 7% 9% 10% What is the price of a 3-year zero-coupon bond with a par value of $1,000? A. $863.83 B. $816.58 C. $772.18 D. $765.55 E. None of the options are correct

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