3. Suppose the term structure of interest rates is as follows: Term Spot rate 1 yr 4.80% 2 yr 4.95% 3 yr 5.15% 4 yr 5.65% 5 yr 6.00% (a) (1 point) Find the present value of a 5-year annuity-due in which the first payment is $500, and each subsequent payment is $150 larger than the previous payment. Round to the nearest cent. (b) (1 point) Find the price of a $1,500 par value 4-year bond with 5% annual coupons. Round the price to the nearest cent. (c) (1 point) Find the level yield to maturity of the bond in part (b). Write the yield to maturity as a percent rounded to 4 decimal places. (d) (1 point) Find the at-par yield rate for a three-year $500 bond with annual coupons. Write as a percent rounded to 4 decimal places. (e) (1 point) Determine all one-year forward rates that can be determined using these spot rates. Write each as a percent rounded to 4 decimal places (where necessary). (f) (1 point) Given s7 = 7.65%, find the 3-year deferred 4-year forward rate. Write as a percent rounded to 4 decimal places. 3. Suppose the term structure of interest rates is as follows: Term Spot rate 1 yr 4.80% 2 yr 4.95% 3 yr 5.15% 4 yr 5.65% 5 yr 6.00% (a) (1 point) Find the present value of a 5-year annuity-due in which the first payment is $500, and each subsequent payment is $150 larger than the previous payment. Round to the nearest cent. (b) (1 point) Find the price of a $1,500 par value 4-year bond with 5% annual coupons. Round the price to the nearest cent. (c) (1 point) Find the level yield to maturity of the bond in part (b). Write the yield to maturity as a percent rounded to 4 decimal places. (d) (1 point) Find the at-par yield rate for a three-year $500 bond with annual coupons. Write as a percent rounded to 4 decimal places. (e) (1 point) Determine all one-year forward rates that can be determined using these spot rates. Write each as a percent rounded to 4 decimal places (where necessary). (f) (1 point) Given s7 = 7.65%, find the 3-year deferred 4-year forward rate. Write as a percent rounded to 4 decimal places