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Based on economists forecasts and analysis, one-year Treasury bill rates and liquidity premiums for the next four years are expected to be as follows: 1
Based on economists forecasts and analysis, one-year Treasury bill rates and liquidity premiums for the next four years are expected to be as follows:
1R1 = | 0.32% | ||
E(2r1) = | 0.68% | L2 = | 0.05% |
E(3r1) = | 0.78% | L3 = | 0.16% |
E(4r1) = | 1.08% | L4 = | 0.18% |
Calculate the yield to maturity for four years. (Round your percentage answers to 2 decimal places. (e.g., 32.16))
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