6m 9m 15m 18m Q3. Consider the discount factors for the following eight dates Date 3m ly 21m 2y Price 0.9928 0.9849 0.9762 0.9689 0.9580 0.9495 0.9407 0.9325 a) What are the annualized, continuously compounded rates applicable for loans with maturities t3 = 9m, respectively to = 18m? b) What is the price of a bond paying semi-annual coupon at the rate of 6.50% maturing in 21 months? Report both the clean and the dirty price. (You can assume here that each month is 30 days.) c) What is the yield to maturity of this bond? d) Consider the rate that can be locked in advance to borrow between dates ty ta = ly, i.e., the forward rate f(0, t2, ta). What is the value of f(0, t2, ta)? If t6 = 18m, what are f(0,t2, te) and f(0, ta, t)? = 6m and 6m 9m 15m 18m Q3. Consider the discount factors for the following eight dates Date 3m ly 21m 2y Price 0.9928 0.9849 0.9762 0.9689 0.9580 0.9495 0.9407 0.9325 a) What are the annualized, continuously compounded rates applicable for loans with maturities t3 = 9m, respectively to = 18m? b) What is the price of a bond paying semi-annual coupon at the rate of 6.50% maturing in 21 months? Report both the clean and the dirty price. (You can assume here that each month is 30 days.) c) What is the yield to maturity of this bond? d) Consider the rate that can be locked in advance to borrow between dates ty ta = ly, i.e., the forward rate f(0, t2, ta). What is the value of f(0, t2, ta)? If t6 = 18m, what are f(0,t2, te) and f(0, ta, t)? = 6m and