You have until 8:55 PM to complete this assignment. Intro Treasury spot rates are as follows in today's market: One year ago, a 3-year Treasury note ($1,000 face value, 4% coupon rate and pays annual coupon) was issued and today it has two years left to maturity and two cashflows left to pay. Part 1 Attempt 1/2 for 10 pts. If this security is fairly priced in today's market, what must be true about the YTM? Check all that apply: Being the complex average of 1-yr and 2-yr Treasury spot rates, YTM is quite close to 2-yr spot rate but quite far from 1-yr spot rate 3.3%> YTM > 2.7% Being the complex average of 1-yr and 2-yr Treasury spot rates, YTM is quite close to 1-yr spot rate but quite far from 2-yr spot rate 2.7%> YTM > 1.6% YTM 3.3\% If this security is under-priced but greater than $1,000 in today's market, what can you conclude about the YTM? Check all that apply: 2.7%>YTM>1.6%3.3%>YTM>2.7%YTM YTM > 2.7% Being the complex average of 1-yr and 2-yr Treasury spot rates, YTM is quite close to 1-yr spot rate but quite far from 2-yr spot rate 2.7%> YTM > 1.6% YTM 3.3\% If this security is under-priced but greater than $1,000 in today's market, what can you conclude about the YTM? Check all that apply: 2.7%>YTM>1.6%3.3%>YTM>2.7%YTM