The following is a list of prices for zero-coupon bonds of various maturities. a. Calculate the yield to maturity for a bond with a maturity of (i) one year; (ii) two years; (iii) three years; (iv) four years. Assume annual coupon payments. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

Maturity (Years) . Price of Bond YTM

1 $978.43 _____%

2 $924.97 _____%

3 $840.12 _____%

4 $784.39 _____%

b. Calculate the forward rate for (i) the second year; (ii) the third year; (iii) the fourth year. Assume annual coupon payments. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

Maturity (years). Price of Bond.

1 $978.43

2 $924.97

3 $840.12

4 $784.39

Maturity (Years) . Price of Bond Forward Rate

2 $924.97 _____%

3 $840.12 _____%

4 $784.39 _____%

b. Calculate the forward rate for (i) the second year; (ii) the third year; (iii) the fourth year. Assume annual coupon payments. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

Maturity (years)	Price of Bond
1	$	978.43
2		924.97
3		840.12
4		784.39