The prices of three gilt strips are shown below. Each strip makes a single payment of 100 at maturity. (a) Calculate the spot rate for each maturity. (b) To finance government budget deficit, the UK treasury is planning a new issue of 3-year coupon bond. The new bond has a par value of 1,000 and a coupon rate of 5% per annum. Coupon payments are made annually. How much should the new bond be priced at