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A) If the three-year rate is 3% and the four-year 2.65%, what is the implied one-year forward rate in three years? B) Today is December
A) If the three-year rate is 3% and the four-year 2.65%, what is the implied one-year forward rate in three years?
B) Today is December 21. The six-month interest rate is 3%. The three-month rate is also 3%. What is the forward 3-month rate in three months? Be mindful of day counts.
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