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How much should a two-year bond offer to remain competitive with a one-year bond, if the interest rates on a one-year (R1)were as follows: 1.
How much should a two-year bond offer to remain competitive with a one-year bond, if the interest rates on a one-year (R1)were as follows: 1. R1+ (forward interest rate = 10%) 2. R1+ (forward interest rate = 12%) 3. R1+ (forward interest rate = 8%)
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