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8. Suppose the current term structure of interest rates is as follows: Y1 = 4% Y2 = 5% Y3 = 9% Y4 = 10% Y5

8. Suppose the current term structure of interest rates is as follows: Y1 = 4% Y2 = 5% Y3 = 9% Y4 = 10% Y5 = 11% The arbitragefree forward rate between times 2 and 4, 2f4? a. 4.76% 5.00% 10.00% b. C. d. 15.24% e. 32.80%

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