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Answer has to be in form of a formula Forecasting Interest Rates Excel Sign In FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Calibri
Answer has to be in form of a formula
Forecasting Interest Rates Excel Sign In FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Calibri 11 A A Conditional Format as Cell Paste Alignment Number Cells Editing I Formatting Table Styles Clipboard Font Styles fx A1 X A C D F F G Assume the current interest rate on a 1-year Treasury bond (,R,) is 6.50 percent, the current rate on a 2-year Treasury bond (R2) is 7.25 percent, and the current rate on a 3-year Treasury bond (R2) is 8.50 percent. If the unbiased expectations theory of the term structure of interest rates is correct, what is the 1-year forward rate expected on Treasury bills during year 3, 3f,? (Do not round intermediate calculations. Round your answer to 2 decimal places.) 4. 7 6.50% 7.25% 9 8.50% 10 11 12 Complete the following analysis. Do not hard code values in your calculations 13 14 15 16 Sheet1 X un D N CT
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