The following table shows the prices of a sample of Treasury bonds, all of which have coupon rates of zero. Each bond makes a single payment at maturity.

Years to Maturity Price (% of face value)
1 96.852%
2 93.351
3 89.544
4 85.480
a) What is the 1-year interest rate?
b) What is the 2-year interest rate?
c) What is the 3-year interest rate?
d) What is the 4-year interest rate?
e) Is the yield curve upward-sloping, downward-sloping, or flat?
f) Is this the usual shape of the yield curve