Assume that the continuously-compounded spot yield curve is as follows: r(0,0.5) = 1.2%, r(0,1) = 1.6% r(0,1.5) = 2%, r(0,2) = 2.2%. Assume that the drift parameters 0; in a Ho-Lee model are equal to 0.01 for i = 0,1,2, and the volatility parameter o is equal to 1.5%. Build a three-step interest-rate tree with A = 0.5. Use this Ho-Lee model to calculate the model-implied price of a 0.5-year, a 1-year, a 1.5-year, and a 2-year zero-coupon bond. Do these prices agree with the observed spot yield curve? Assume that the continuously-compounded spot yield curve is as follows: r(0,0.5) = 1.2%, r(0,1) = 1.6% r(0,1.5) = 2%, r(0,2) = 2.2%. Assume that the drift parameters 0; in a Ho-Lee model are equal to 0.01 for i = 0,1,2, and the volatility parameter o is equal to 1.5%. Build a three-step interest-rate tree with A = 0.5. Use this Ho-Lee model to calculate the model-implied price of a 0.5-year, a 1-year, a 1.5-year, and a 2-year zero-coupon bond. Do these prices agree with the observed spot yield curve