Favorites mckenzie ca... W Kentavious P.U.L.S. E Pre... Equi benefits of b... Saved Help Save nent A Assume the current interest rate on a 1-year Treasury bond (GR) is 6.50 percent, the current rate on a 2-year Treasury bond (R) is 7.25 percent, and the current rate on a 3-year Treasury bond (R) is 8.50 percent. If the unbiased expectations theory of the term structure of interest rates is correct, what is the 1-year forward rate expected on Treasury bills during year 3, 3f,? (Do not round intermediate calculations. Round your answer to 2 decimal places.) R, R 6.50% 7.25% 8.50% R, 2 Complete the following analysis. Do not hard code values in your calculations. 3 4 5 2f Sheet1 4 of 12