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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: 1 R

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 = .50%
E(2r1) = .98% L2 = 0.09%
E(3r1) = 1.08% L3 = 0.14%
E(4r1) = 1.38% L4 = 0.16%

Calculate the four annual rates. (Round your answers to 2 decimal places. (e.g., 32.16))

Year 1: 0.50%

Year 2: ____%

Year 3: _____%

Year 4: _____%

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