Question: A 1-year zero coupon bond is priced at $947.87, while a 2-year zero coupon bond is priced at $881.60. Derive the 1-year and 2-year spot

A 1-year zero coupon bond is priced at $947.87, while a 2-year zero coupon bond is priced at $881.60. Derive the 1-year and 2-year spot rate y, and y2 a. 5.5% and 6.5% respectively b. 2.6% and 6,5% respectively c. 5.5% and 12.0% respectively d. 6.0% and 7.0% respectively e. Indeterminant from the information provided

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