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13. Given the following zero-coupon bond prices, which of the following is closest to the implied one-year forward rate for the fourth year? Maturity (Year)
13. Given the following zero-coupon bond prices, which of the following is closest to the implied one-year forward rate for the fourth year?
Maturity (Year) | Bond Price |
1 | $ 943.40 |
2 | $ 898.47 |
3 | $ 847.62 |
4 | $ 792.16 |
A. 5.00%
B. 5.50%
C. 6.00%
D. 7.00%
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