1.   The par yield is therefore equal to the coupon rate for bonds priced at or near par.

2.   The spot yields can be derived from the par yields as follows.

3.   The relationship between the par yields, spot yields and forward rates is given in the following table.

4.   The relationship between par yields and spot yields can be shown using the following example.

5.   To what purpose are par yields, spot yields and forward yields put?