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Consider the following spot interest rates for maturities of one, two, thee, and four years. r1 = 4.3% r2 = 4.9% r3 = 5.6% r4
Consider the following spot interest rates for maturities of one, two, thee, and four years. r1 = 4.3% r2 = 4.9% r3 = 5.6% r4 6.4% What are the following forward rates, where, f1k refers to a forward rate for the period beginning in one year, and extending for k years?
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