4. Consider the following term structure of interest rates: r1-590 ,r2 796 ,r3 1096 a. Find the prices of the following bonds: i. 3-year zero-coupon bond with face value of $1,000 ii. 2-year bond with coupon rate 15% and par of $100 (paying coupons annually) iii. 3-year bond with coupon rate 7% and par of $1,000 (paying coupons annually) b. Find out whether the following bonds are fairly priced: i. 2-year strip with $1,000 principal that has an observed price of $873.44 ii. 3-year bond with coupon rate of 15% paying annually and $100 par has an observed price of $93.88 iii. 2-year bond with coupon rate 5% paying annually, face value of $1,000 that has an observed price of $1,097.54 c. Discuss the magnitude of YTM for each of the 6 bonds above and explain how you would calculate the YTM for each bond (no requirement for calculating the YTM for this question- only explain how you would find the YTM for each bond)