You have a large amount of money to invest for a short term of two years. You have done some market research and found that an Auckland International Airports bond maturing in one year yields 3%p.a., and an Auckland International Airports bond maturing in two years yields 5%p.a. You are quite confident that because of rising interest rates, in one year's time the two-year bond (which by then will have one year left until maturity) will yield 7%p.a., Explain whether you should invest in the two-year bond now or buy the one-year bond and renew your investment in a years time?