b) The spot rates for Singapore Government Treasury Securities are shown in the following exhibit. A bond investor is considering two 5-year annual coupon Treasury bonds that are equally ranked in terms of priority of pay out if a default occurs. Bond X has a coupon rate of 10% and the market is currently pricing this bond at $100. Bond Y has a coupon rate of 6% and the market prices this bond at $84.84. Assuming that deviations from efficient bond prices are only temporal, discuss which is the better bond for investment. (30 marks)