The following table is the current term structure of interest rates based on $1,000 par value zero-coupon bonds.( full process)

Bonds	Years to Maturity	Yield to Maturity (%)
A	1	6.00
B	2	7.50
C	3	7.99
D	4	8.49

(a) According to the expectations hypothesis, what is the expected 1-year interest rate 1 year from now in terms of the current term structure of interest rates?

(b) According to the liquidity preference theory, is the expected 1-year interest rate 1 year from now higher or lower than the one obtained in (a)? Explain your answer.

(c) At what price should Bond C sell for two years from now based on the implied forward interest rates derived from the current term structure of interest rates?