Which of the following statements is correct? Statement 1: The “discount margin” measure for floaters assumes that the reference rate does not change. Statement 2: The “spread for life” measure for floaters does not take into account the accretion of a bond’s discount. (a) Statement 1 is correct, but Statement 2 is not correct. (b) Statement 2 is correct, but Statement 1 is not correct. © Both statements are correct. (d) Neither statement is correct. [Can you correctly answer this question without referencing the Readings?]