Suppose you and most other investors expect the inflation rate to be 7% next year, to fallto 5% during the following year, and then to remain at a rate of 3% thereafter. Assumethat the real risk-free rate, r*, will remain at 2% and that maturity risk premiums onTreasury securities rise from zero on very short-term securities (those that mature in afew days) to a level of 0.2 percentage points for 1-year securities. Furthermore, maturity risk premiums increase 0.2 percentage points for each year to maturity, up to a limit of 1.0 percentage point on 5-year or longer-term T-notes and T-bonds.a. Calculate the interest rate on 1-, 2-, 3-, 4-, 5-, 10-, and 20-year Treasury securities,and plot the yield curve.b. Now suppose ExxonMobil