Yield curve data provides the following forward or spot rates:

f0 = 0.03

f₁ = 0.0325

f₂ = 0.03625

f₃ = 0.0375

b. If the price of the T-Bill is $93.804, find Z₂. Note: use semi-annual periods & remember that T-Bills have a coupon rate of 0%.

c. What should be the value of Z₂? Note: Use this equation to find Z₂ --> (1+Z_n)ⁿ = (1+f₀) ... (1+f_n-1)