Please show with all the steps on how to solve for z3 in this equation. The other photos give information to solve the problem.

- Consider the following maturity/yield to maturity for treasuries (Exhibit 5-6 in txt book) - All rates are quoted on BEY basis Derive Spot rates (continued) 100=(1+2.0525)2.875+(1+2.0555)22.875+(1+z3)3102.875 - Cash flow from the 1.5 year T-note at time: - 0.5 yr: (0.05750.5)100=2.875 - 1 yr: (0.05750.5)100=2.875 - 1.5 yr: (0.05750.5)100+100=102.875