Problem #4: A one year zero coupon bond has an effective annual rate of 8.5%. A three year zero coupon bond has an effective annual rate of 11.5%. If a 3 year coupon-bearing bond that pays coupons of 12.5% annually has a yield of 11.1%, what is the effective annual rate of a two year zero coupon bond? Problem #4: 0.16 Answer as a percentage, correct to 2 decimals. Just Save Your work has been saved! (Back to Admin Page). Submit Problem #4 for Grading Problem #4 Attempt #1 Attempt #2 Attempt #3 Attempt #4 Attempt #5 Your Answer: 16.38 0.16 Your Mark: 0/2x 0/2x