Consider a 5-yr annual coupon bond with a coupon rate of 8%, and a market price of 93.6889. Assume that spot rates of 3%, 4%, 5%, 6%, and 7% for r(1) to r(5). (A) Extrapolate one-period forward rates for 1 to 4 years from today, i.e., work out f(1,1), f(2,1); f(3,1), and f(4,1) (B) What is the YTM for the bond? (C) If the bond is priced with forward rates computed above, what will be the annualized rate of return? (D) Compare the annualized rate of return computed with the forward rates and the YTM, why they are different?