3. (20 points) Following are U.S. Treasury benchmarks and their clean prices on September 4, 2020: CUSIP Price (decimals) Notes/ Bonds 2-Year 3-Year 5-Year 7-Year 91282CAG6 91282CAF8 91282CAJO 91282CAH4 91282CAE1 912810502 912810SP4 Maturity Coupon Date Rate 08/31/2022 0.125% 08/15/2023 0.125% 08/31/2025 0.250% 08/31/2027 0.500% 08/15/2030 0.625% 08/15/2040 1.125% 08/15/2050 1.375% $99.9609 $99.8516 $99.7539 $99.9766 10-Year $99.1016 20-Year 30-Year $97.6640 $97.6328 On the same day, the following trades were executed: Issuer Issue Time Warner Inc. TWX 6.5 11/15/2036 McCormick & Co. Inc. MKC 4.2 8/15/2047 Goldman Sachs Group Inc. GS 3.25 4/01/2025 IBM Corp IBM 7 10/30/2045 GE Capital International Funding GE 4.418 11/15/2035 Price (decimals) 124.3545 126.8055 110.883 156.545 102.9675 Based on the above, assuming that all bonds pay semiannually and that yields are annual yields, complete the following table: Issue Yield Treasury Benchmark Spread to Yield (%) Benchmark Yield (bps) Benchmark (bps) Ratio TWX 6.5 11/15/2036 MKC 4.2 8/15/2047 GS 3.25 4/01/2025 IBM 7 10/30/2045 GE 4.418 11/15/2035