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Question 12 through 15 please:) whereas two-year debt rields 11.6%. Fewnd all anowers to 6 ne decimal and add a % sign. a. What is
Question 12 through 15 please:)
whereas two-year debt rields 11.6%. Fewnd all anowers to 6 ne decimal and add a % sign. a. What is the real nisk-free rate for two-year debt? Round your answer to one decimall place and asd a whigh. b. What is the maturity rick premium for two-year debe? Reund your answer to one decimal place and add a whign. c. Forecast the expected interest rate an one-year govem-ent dett isured at the beginning of the second year; Round your answer to ene decimal place and add a 4h sign. Mintt this is a 1 year bend that starts in year 2 , which means the Inglation is a steady 6%. a. Ferecast the irserest rase on two-year gevemment debt issued at the seginning of the second yeat. Round your answer to one decimal place and add a wh sign. QUESTION 13 14. Infation is expected to be 3% fer vesr I of the loan. Using the interest rate model, what does the lender espect the tefiation rate to be in year 2 of the loan? Round your anwwer to one decimal place. Round your answer to one decimal place and add a th sign. QUESTION 14 Mound your answer to one decimal place and add \% sign. QUESTION 15 in one-year loans. What infution tate do lenders expet nest year? Round your anwwer to one decimal place and add whand to your antwer. whereas two-year debt rields 11.6%. Fewnd all anowers to 6 ne decimal and add a % sign. a. What is the real nisk-free rate for two-year debt? Round your answer to one decimall place and asd a whigh. b. What is the maturity rick premium for two-year debe? Reund your answer to one decimal place and add a whign. c. Forecast the expected interest rate an one-year govem-ent dett isured at the beginning of the second year; Round your answer to ene decimal place and add a 4h sign. Mintt this is a 1 year bend that starts in year 2 , which means the Inglation is a steady 6%. a. Ferecast the irserest rase on two-year gevemment debt issued at the seginning of the second yeat. Round your answer to one decimal place and add a wh sign. QUESTION 13 14. Infation is expected to be 3% fer vesr I of the loan. Using the interest rate model, what does the lender espect the tefiation rate to be in year 2 of the loan? Round your anwwer to one decimal place. Round your answer to one decimal place and add a th sign. QUESTION 14 Mound your answer to one decimal place and add \% sign. QUESTION 15 in one-year loans. What infution tate do lenders expet nest year? Round your anwwer to one decimal place and add whand to your antwer Step by Step Solution
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