tpx A two-year Treasury strip has a yield of 2.6%, and the three Treasury strip has a yold of 3 98% Marry thinks the one-year interest rate will be 864% in two years, and she wling to put her money where her mouth is. Assume that all seates are zerocoupon securities, and that market participates can lead and borrow at the same rate) What is the price of the two-year Treasury strip? What is the price of the three-year Treasury strip? If Marry buys the two years Treasury and reinvests the proceeds from many two-year Treasuries does he two-year Treasury into a one-year Treasury, then how uy today if she wants $1,000 in three years? % (Answer as a percent of $1,000 par value) t Marry wants $1,000 in three years, how much money would Marry needs to spend on the two-year Treasury if she expects to roll he proceeds over in the second year at 8.64%? If Marry wants to speculate on the future interest rate but doesnt want to invest any money, then what strategy will sho take if she believes the one-year interest rates will be 8.64% in two years? (Assume borrow and leading at the same rate) Click to select According to the expectation hypotheses, what rate does the markot expect the one-year rate wil be in two years? References