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Based on economists' forecasts and analysis, one-year T-bill rates and liquidity premiums for the next four years are expected to be as follows: 1R1 -

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Based on economists' forecasts and analysis, one-year T-bill rates and liquidity premiums for the next four years are expected to be as follows: 1R1 - 5.65% E(271) = 6.75% E(371) = 6.85% E(471) = 7.15% L2 = 0.05% L3 = 0.10% L4 = 0.12% Calculate the four annual rates. (Round your answers to 2 decimal places. (e.g., 32.16)) Year 1 Year 2 Year 3 Year 4 Annual Rates % % % %

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