You are a bond trader on the fixed income desk of a global i…

Yоu аre а bоnd trаder оn the fixed income desk of a global investment bank. A client asks you to price several zero-coupon bonds with different maturities. To do this, you need to compute the appropriate discount factor for future cash flows. The trading system provides you with the following spot rates (annual compounding): 1-year spot rate: [spot1] 2-year spot rate: [spot2] 3-year spot rate: [spot3] 4-year spot rate: [spot4] 5-year spot rate: [spot5] 6-year spot rate: [spot6] 7-year spot rate: [spot7] 8-year spot rate: [spot8] Your manager turns to you and says: “Compute the discount factor for a cash flow to be received in [year] years.” What is the [year]-year discount factor? Round your answer to the nearest three decimals if needed. Type your answer in percentage and not in decimals (i.e. 5.2 and not 0.052). Do not type the % symbol.