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D Question 16 4 pts The yield on 1-year Treasury securities is 3.5%, 2-year securities yield 3.8%, 3- year securities yield 4%, 4-year securities yield
D Question 16 4 pts The yield on 1-year Treasury securities is 3.5%, 2-year securities yield 3.8%, 3- year securities yield 4%, 4-year securities yield 4.3%, and 5-year securities yield 4.5%. There is no maturity risk premium. Based on the Pure Expectations Theory and geometric averages, what is the yield on a 1-year security, 3 years from now? 5.25% 4.40% 4.75% 5.21% 4.80%
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