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2. The yield to maturity on one-year zero coupon bonds is 4.32%. The yield to maturity on two-year zero coupon bonds is 6.46% a. What

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2. The yield to maturity on one-year zero coupon bonds is 4.32%. The yield to maturity on two-year zero coupon bonds is 6.46% a. What is the forward rate of interest for the second year? (Round your answer to 2 decimal places.) Forward rate b. According to the expectations hypothesis, what is the expected value of the one-year interest rate for next year? (Round your answer to 2 decimal places.)

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