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2. The following bonds are available in a market. 100 Face value ($) Time to maturity (years) Anmal coupon rate(%) Price ($) 100 0.5 0

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2. The following bonds are available in a market. 100 Face value ($) Time to maturity (years) Anmal coupon rate(%) Price ($) 100 0.5 0 96.08 1 0 90.94 100 1.5 0 86.2 100 2 10 97.77 100 1.8 16 ? All the coupons are paid semi-annually. Today's coupons have just been paid. Estimate the price of the last bond. [10 marks)

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