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can you explain how to set up in the financial calculator and what it means. Suppose the interest rate on a 1-year T-bond is 5.00%
can you explain how to set up in the financial calculator and what it means.
Suppose the interest rate on a 1-year T-bond is 5.00% and that on a 2-year T-bond is 8.60%. Assuming the pure expectations theory is correct, what is the market's forecast for 1-year rates 1 year from now? Round the intermediate calculations to 4 decimal places and final answer to 2 decimal places. O a. 14.17% O b. 12.32% O c. 12.20% O d. 14.54% Oe. 9.86% Step by Step Solution
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