Consider the following par bond (ie coupon rate=yield):

Maturity: 1 2 3 4 5

YTM: 5%; 4.5%; 4%; 3.5%; 3.2%

Q1.Calculate discount factor for all 5 years

Q2.Calculate spot rates for all 5 years

Q3.Calculate forward rates for all 5 years

Q4. Price a 5 year 10% coupon bond. What is the YTM for the bond

Q4. Price a 5 year 2% coupon bond. What is the YTM for the bond