Bond Auction $(13$ points$)$The Treasury Department is currently holding an open auction on bonds. Each bondhas a face value of $$1,500,000.$ Complete all three parts $($a$-$c$).$a$.$ Suppose you pay $$1,460,000$ for the bond at auction. Solve for the interest rateyou receive on this bond. Round to four decimal places $($otherwise$,$ you will losecredit$).$b$.$ What is the relationship between bond prices and the corresponding interest rate?c$.$ In order to encourage an increased number of bonds to be sold, given that many ofyou indicated in your last discussion board post that the national debt issustainable, to help finance the national debt, the interest rate on the bond shouldincrease. What impact will this increased interest rate, resulting from theincreased number of bonds to finance government spending have on the aggregateexpenditures? What is the name of the effect that arises in this situation?