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Consider the following $1,000 par value zero-coupon bonds: Bond Years to Maturity Yield to Maturity A 1 6.00% B 2 7.00% C 3 7.99% D

Consider the following $1,000 par value zero-coupon bonds: Bond Years to Maturity Yield to Maturity A 1 6.00% B 2 7.00% C 3 7.99% D 4 9.41% E 5 10.70% Calculate : (1)The expected one-year interest rate one year from now. (2)The expected one-year interest rate four years from now.

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