finding spot rate curve Maturity 1 year 2 year 3 year YTM% Coupon% 2.080% 2.08% 0.00% 0.00% 3/20/18 Bonds par value are $100 and pay annual coupon If we assume annual coupon what are the spot rates derived from this curve? zcb1 zcb2 zcb3 spot rate for year 2 US$ 100.00 = + 100.000% US$ 100.00 = US$ US$0.000 spot rate for year 3 US$ 100.00 US$ 100.00 + US$0.00 (1+zcr2)^2 0.000 to find the zcb spot rate for year 2 https://www.treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=yieldYear&year=2018 + + 1.0208 1.0234 ^2 US$100.00 100.000% US$0.00 + US$ - + US$ 100.00 US$ 100.00 = US$100.00 (1+zcr3)^3 US$ 100.00 to find the zcb spot rate for year 3