Sould be answered by building an n=10-period binomial model for the short-rate, ri,j. The lattice parameters are: r0,0=5%, u=1.1, d=0.9 and...

Sould be answered by building an n=10-period binomial model for the short-rate, ri,j. The lattice parameters are: r0,0=5%, u=1.1, d=0.9 and q=1−q=1/2.( t=10 (price 61.62))

1.Compute the price of a forward contract on the same ZCB of the value 100  where the forward contract matures at time t=4.

2.Compute the initial price of a futures contract on the same ZCB . The futures contract has an expiration of t=4.