Hi I'm hoping someone can help with the calculations in this past paper question. The general topic is forward contracts and no arbitrage assumptions. The answers are 114% for the first question, and 118% for the second one, as shown, so please only post an answer if you get these answers. Thanks.

6. a) State the no arbitrage" assumption in financial mathematics What is a forward contract? Include in your answer a reference to the terms long forward position and short forward position. An investor purchases a fixed interest security which pays coupons at a rate of 5% per annum payable in arrear and is to be redeemed at 120% in 10 years. The investor is subject to income tax at a rate of 20%. to the nearest pound the price per cent paid by the investor to obtain a rate of return of 4% per annum effective. Two years later, immediately after payment of the interest then due, a second investor, who is liable to income tax of 20%, agrees a forward contract to buy the security five years later, immediately after the coupon payment then due. Calculate the forward price based on a "risk free" rate of return of 4% per annum and no arbitrage (15 marks) 6. a) State the no arbitrage" assumption in financial mathematics What is a forward contract? Include in your answer a reference to the terms long forward position and short forward position. An investor purchases a fixed interest security which pays coupons at a rate of 5% per annum payable in arrear and is to be redeemed at 120% in 10 years. The investor is subject to income tax at a rate of 20%. to the nearest pound the price per cent paid by the investor to obtain a rate of return of 4% per annum effective. Two years later, immediately after payment of the interest then due, a second investor, who is liable to income tax of 20%, agrees a forward contract to buy the security five years later, immediately after the coupon payment then due. Calculate the forward price based on a "risk free" rate of return of 4% per annum and no arbitrage (15 marks)