Suppose you are given the following bond prices and maturities for 0-coupon bonds. (Assume annual coupons)

What is the implied forward rate on a bond purchased at the end of year 2 and maturing at the end of year 5? (ie,

2R5)

T	Price
1	$991.08
2	$953.67
3	$920.49
4	$885.04
5	$798.62

The implied forward rate on a bond issued at T=2 and maturing at T=5 is:

nothing%.

(hint: you might want to calculate some YTMs on existing bonds first.)