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Consider the following three zero-coupon (discount) bonds: a. Calculate the one-, two-, and three-year spot rates. (3 marks) b. Calculate the forward rate over the

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Consider the following three zero-coupon (discount) bonds: a. Calculate the one-, two-, and three-year spot rates. (3 marks) b. Calculate the forward rate over the second year and the forward rate over the third year. (2 marks)

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