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You skipped this question in the previous attempt. The following table shows the prices of a sample of Treasury strips. Each strip makes a single

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You skipped this question in the previous attempt. The following table shows the prices of a sample of Treasury strips. Each strip makes a single payment at maturity. Years to Maturity Price, (of face value) 97.4528 93.951 90.144 86.080 a. What is the 1-year interest rate? (Do not round Intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Interest rate % b. What is the 2-year interest rate? (Do not round Intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Interest rate % (Ch. 6) O You skipped this question in the previous attempt. c. What is the 3-year interest rate? (Do not round Intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Interest rate d. What is the 4-year interest rate? (Do not round Intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Interest rate e. Is the yield curve upward-sloping, downward-sloping, or flat? Upward-sloping Downward-sloping O Flat Upward-sloping O Downward-sloping O Flat f. Is this the usual shape of the yield curve? O Yes O No

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