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Question 17 (3 points) Suppose that the 9-month and 12-month LIBOR rates are 2.4% and 2.8%, respectively. Assume that rates are quarterly compounded, and that

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Question 17 (3 points) Suppose that the 9-month and 12-month LIBOR rates are 2.4% and 2.8%, respectively. Assume that rates are quarterly compounded, and that LIBOR is used as the risk-free discount rate. What is the forward LIBOR rate (quarterly compounded) for the period between 9 months and 12 months? 1.59% 3.20% 3.68% % 4.00% %

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