In this question you will compare three investment strategies in a situation where interest rates are expected to rise. Many investors consider the lock-in to be inferior when rates rise because of interest rate risk. What you will see in this example is that anticipated rate increases are priced into the yield curve and so all strategies are equivalent. However, with unanticipated rate increases, there is a dominant investment strategy. Use the data in the table for zero coupon bonds below to complete parts (1) through (6). Zero Coupon Bond Prices & Yields (FV = $100) Maturity Price Yield 1 90.498 10.5% 2 58.719 30.5% Part 1 The lock-in: If you buy the two-year bond at its quoted price and hold to maturity, then what return do you earn (per annum) over the two years? (Enter your answer in percentage form rounded to one decimal place.) %