you have to use information in problem No.2. Use annual interest rates to back out forward interest rates in year 2 and year 3. It is standard bootstrapping procedure. 
for example, year 2 forward rate at time 0 is 
1.065*1.065/1.06-1=0.070024
for year 3 forward rate at time 0 is 
1.07*1.07*1.07/1.065*1.065-1=0.080071. 
BTW, reading 38 is in volume 5 not 6
Good luck and happy reading