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Find the expected one-year interest rate starting a year from now if, The one-year bond yields 7.50% The two year bond yields 6.00% Be sure

Find the expected one-year interest rate starting a year from now if,

  1. The one-year bond yields 7.50%
  2. The two year bond yields 6.00%

Be sure to state your answer in the proper format using basis points. That is, state you answer in the format of xx.xx% or x.xx% but not x.x% or x.xxx%.

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