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The prices of three zero - coupon bonds are provided in the table below. All three bonds have a face value of $ 1 ,

The prices of three zero-coupon bonds are provided in the table below. All three bonds have a face value of $1,000. The three bonds have three different terms to maturity. What is the yield on the bond with 2 years to maturity?
Maturity
Price
Yield
1 Year
$970.35
K1
2 Years
$925.25
K2
3 Years
$880.55
K3
Group of answer choices
4.02%
3.96%
4.01%
4.07%

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