Question
Assume the following benchmark annual spot rates: Maturity (years) Sport rate (%) 1 1.00 2 1.25 3 1.30 4 1.50 Use the spot rate curve
Assume the following benchmark annual spot rates:
| Maturity (years) | Sport rate (%) |
| 1 | 1.00 |
| 2 | 1.25 |
| 3 | 1.30 |
| 4 | 1.50 |
Use the spot rate curve to calculate the 1-year forward rate 3-years from now (f3,1).
Group of answer choices
0.00% < forward rate 0.50%
0.50% < forward rate 1.00%
1.00% < forward rate 1.50%
1.50% < forward rate 2.00%
2.00% < forward rate
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Mastering Attribution In Finance
Authors: Andrew Colin
1st Edition
1292114029, 978-1292114026
