The following table gives the prices of bonds:
a. Calculate zero rates for maturities of 6 months, 12 months, 18 months, and 24 months.
b. What are the forward rates for the periods: 6 months to 12 months, 12 months to 18 months, 18 months to 24 months?
c. What are the 6-month, 12-month, 18-month, and 24-month par yields for bonds that provide semiannual coupon payments?
d. Estimate the price and yield of a two-year bond providing a semiannual coupon of 7% per annum.