2. Consider two risk-free, zero-coupon bonds with face value 100. The first matures in 1 year and trades for 99 and the second matures in 2 years and trades for E96.08. (a) Find the 1-year and 2-year spot interest rates. (b) Find the forward interest rate for the period starting in 1 year and ending in 2 years. of one year starting 1 year hence at an interest rate of 2.5%. Describe in detail an arbitrage opportunity available to you