financial economics

Problem 2 (10 points) Suppose the price of 1year maturity zerocoupon bonds with face value $100K} is $9512} and the price of 2year seros with $1001} face value is $83G. {a} Compute the forward rate in the second year. {h} Il'J'onstruct a forward interest rate contract using 1year and 2year zero coupon bonds at time t=l] so that you can eflz'ectivelj.r borrow $1000 at tune t=1 at forward rate which you got in part[aj. Detailed explanations required