The following information was available as of the close of business June 1, 2004, on government of Canada bonds Coupon 7.00 12.20% 10.2015 Maturity June 1, 2005 June 1, 2006 June 1, 2007 Price 119.85 114.08 109.11 Yield 2.77 3.43 3.56 Calculate the anticipated one year interest rate for 2006 (up to June 2007). (Do not round intermediate calculations, Round the final answers to 2 decimal places.) Interest rate 2nd year 3rd year