Assume the zero-coupon yields on default-free securities are as summarized in the following table: 1 year 4 years 2 years Maturity 3 years 5 years 6.8% 7.2% 7.5% Zero-Coupon Yields 7.8% 7.9% What is the price today of a two-year, default-free security with a face value of $1,000 and an annual coupon rate of 3%? Does this bond trade at a discount, at par, or at a premium? Note: Assume annual compounding. What is the price today of a two-year, default-free security with a face value of $1,000 and an annual coupon rate of 3%? The price is $ (Round to the nearest cent.) Next Question Assume the zero-coupon yields on default-free securities are as summarized in the 1 year Maturity Zero-Coupon Yields 2 years 6.50% 3 years 6.70% 4 years 7.10% 5 years 7.30% 6.00% Consider a four-year, default-free security with annual coupon payments and a face value of $1,000 that is issued at par. What is the coupon rate of this bond? The par coupon rate is %. (Round to two decimal places.)