how to get A

1. (4 points) Given the following spot yield curve, what is the five year interest rate, one year forward? Maturity One year Two year Three years Four years Five years Six years Seven years Eight years Nine years Ten years Yield 2.50% 2.80 3.00 3.20 3.50 3.80 4.00 4.25 4.50 5.00 a.) b.) 4.00% 3.50% 5.31% 6.25% none of the above a.) is correct