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Question 1: (Maximum 1 page) Today is October 12, 2021, and the term structure of interest rates prevailing in the Canadian money market on this
Question 1: (Maximum 1 page) Today is October 12, 2021, and the term structure of interest rates prevailing in the Canadian money market on this day is reported in the table below. These rates are expressed in decimals. Term Ending date Rate Ox3 2022-01-11 0.0050 Ox6 2022-04-13 0.0062 0x9 2022-07-13 0.0070 Ox12 2022-10-12 0.0078 Ox15 2023-01-12 0,0082 Ox18 2023-04-12 0.0091 Ox21 2023-07-12 0.0101 Ox24 2023-10-11 0.0120 2. (B) Based on the rates provided in the above table, calculate the equivalent 3x6, 6x9, 9x12, 12x15, 15x18, 18x21, and 21x24 as they would be quoted if the Canadian money market employed the same quoting convention as the U.S. money market. Present these rates in a neatly constructed table
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