vund paid at the same time as the delivery.) 2.2 If the 3 month interest rate is 9% and the 6 month interest rate is 10% (both with continuous compounding), then what are the prices of the 3 1 discount bonds? What is the forward price which will be agreed, to time, the pure discount bond to mature in 6 months' time? What is the corresponding forward interest rate, with continuous compounding? buy in 3 months' 2.3 With the rates as in Question 2.2, what is the 6 month forward price of a bond with face value $1000, coupon 10% spot price $900, and which pays coupons on a quarterly basis? (Thus, the bond pays $25 every 3 months. Assume that the bond has just paid a dividend.)