Question
Assume that the prices of zero-coupon bonds with various matures are given in the following table. what must be the forward rate in year 3?
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Assume that the prices of zero-coupon bonds with various matures are given in the following table. what must be the forward rate in year 3?
(Round your intermediate calculations to 3 decimal places. Round your final percentage answer to 2 decimal places. (e.g., 32.16))
Time to maturity
Price ($)
1
900
2
825
3
780
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Essentials Of Health Care Finance
Authors: William O. Cleverley, James O. Cleverley
8th Edition
1284094634, 978-1284094633
