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Intro The 3-month Eurodollar futures price is quoted as 96 for a contract maturing in 4 years. The standard deviation of the changes in short-term

image text in transcribed Intro The 3-month Eurodollar futures price is quoted as 96 for a contract maturing in 4 years. The standard deviation of the changes in short-term interest rates in 1 year is 1%. Part 1 Attempt 1/5 for 10pts. What is the forward LIBOR interest rate for the period between 4 and 4.25 years from now (with continuous compounding)

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