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Given the following semiannual spot rates, calculate the one-year implied forward rate for the second year. r.5=6.00%,r1=6.75%,r1.5=7.33%,r2=8.00% Possible Answers A 7.5% B 9.3% C 9.7%
Given the following semiannual spot rates, calculate the one-year implied forward rate for the second year.
r.5=6.00%,r1=6.75%,r1.5=7.33%,r2=8.00%
Possible Answers
A
7.5%
B
9.3%
C
9.7%
D
10.0%
E
10.4%
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