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A 1-year T-bond rate is currently 4% (= 1 R 1 ) while a 2-year rate is currently 6% (= 1 R 2 ) .

A 1-year T-bond rate is currently 4% (=1R1) while a 2-year rate is currently 6% (=1R2) . Use this to estimate 2f1 (forward rate for 1 year bond in year 2).

Report your answer in % to the nearest 0.01%; e.g., enter 3.95% as 3.95.

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