2. The yields on 1-year, 2-year and 3-year, risk-free, zero-coupon bonds are 2%, 2.5% and 3%, respectively. a. What is the value of a 3-year, risk-free bond with a coupon rate of 4% (annual coupons) and a face amount of $1,000? b. What are the implied forward rates in the 2nd and 3rd years (f2 and f3)? c. Under the expectations hypothesis, what are the expected yields on 1-year and 2-year zero coupon bonds 1 year from now (at time 1)?