(20 pts) Consider a 3-year, 6.0% annual coupon bond represented by the binomial interest rate tree on the following page. The one-year implied forward rates are provided for one node of each year of the bond. Assume that the interest rate volatility = 20%. Please complete the tree, filling in the other interest rates and the value of the bond at each node (wherever a ???? occurs, fill in an answer). Note that each node except the one at time=0 represents the payment of a 6.0% coupon, so be sure to include that in the valuation. Show your supporting work in the space below.

V= 100.000 C= 6.000 V = ???? C=6.000 12.44= ???? V = ???? C=6.000 1,4 = ???? V = 100.000 C = 6.000 V = ???? io = 3.000% V = ???? C=6.000 12.HL = ???? V = ???? C=6.000 11.1 = 3.500% V = 100.000 C=6.000 V = ???? C=6.000 in = 4.100% V = 100.000 C = 6.000 Time = Time = Time = Time = V= 100.000 C= 6.000 V = ???? C=6.000 12.44= ???? V = ???? C=6.000 1,4 = ???? V = 100.000 C = 6.000 V = ???? io = 3.000% V = ???? C=6.000 12.HL = ???? V = ???? C=6.000 11.1 = 3.500% V = 100.000 C=6.000 V = ???? C=6.000 in = 4.100% V = 100.000 C = 6.000 Time = Time = Time = Time =