Suppose the interest rate on a $1-$year T$-$bond is $2\mathrm{.}80\%$ and that on a $2-$year T$-$bond is $4\mathrm{.}00\%.$ Assume that the pure expectations theory is NOT valid, and the MRP is zero for a $1-$year T$-$bond but $0\mathrm{.}20\%$ for a $2-$year bond. What is the equilibrium market forecast for $1-$year rates $1$ year from now?

a$.3\mathrm{.}4000\%$

b$.3\mathrm{.}8699\%$

c$.4\mathrm{.}3398\%$

d$.4\mathrm{.}8097\%$

e$.5\mathrm{.}2140\%$