The prices of zero-coupon bonds with various maturities are given in the following table.

Suppose that you want to construct a 2-year maturity forward loan commencing in 3 years. The face value of each bond is $1,000

Maturity (Years)	Price
1	$	948.43
2		875.89
3		809.92
4		745.60
5		665.22

A. What is the effective 2-year interest rate on the effective 3-year-ahead forward loan? (Round your answer to 2 decimal places.)

B. Confirm that the effective 2-year forward interest rate equals (1 + f₄) (1 + f₅) 1. You therefore can interpret the 2-year loan rate as a 2-year forward rate for the last two years. Alternatively, show that the effective 2-year forward rate equals (Round your answer to 2 decimal places.)

(1 + y5)5	- 1
(1 + y3)3