2. A floating rate issue has the following coupon formula: 427 1-year Treasury rate + 30 basis points with a cap of 7% and a floor of 4.5% The coupon rate is reset every year. Suppose that at the reset date the 1-year Treasure rate is as shown below. Compute the coupon rate for the next year: 1-year Treasury rate Coupon rate 1st reset date 6.1% 2nd reset date 6.5% 3rd reset date 6.9% 4th reset date 6.8% 5th reset date 5.7% 6th reset date 5.0% 7th reset date 4.1% 8th reset date 3.9% 9th reset date 3.2% 10th reset date 4.4%