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You observe the following yields on zero coupon U.S. Treasury STRIPS. The settlement date is 11/15/2017. All yields are based on semiannual compounding. Maturity Date

You observe the following yields on zero coupon U.S. Treasury STRIPS. The settlement date is 11/15/2017. All yields are based on semiannual compounding.

Maturity Date Yield

5/15/2018 2.20%

11/15/2018 2.50%

5/15/2019 2.70%

11/15/2019 2.85%

5/15/2020 3.00%

11/15/2020 3.10%

(a) Calculate the STRIP prices that correspond to the yields above.

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