The 1-year interest rates for the next five years are expected to be 4%, 3%, 6%, 5%, and 7%, respectively. The 3-year term premium is 1%. The 4-year...

The 1-year interest rates for the next five years are expected to be 4%, 3%, 6%, 5%, and 7%, respectively. The 3-year term premium is 1%. The 4-year term premium is 1.2%. The 5-year term premium is 1.5%. Use the liquidity premium model. a. Calculate the 3-year bond rate. b. Calculate the 4-year bond rate. c. Calculate the 5-year bond rate