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Question 5 0/3 pts Consider the following $1,000 par value zero-coupon bonds: Bond Years until maturity yield to maturity A 1 5% B 2 6
Question 5 0/3 pts Consider the following $1,000 par value zero-coupon bonds: Bond Years until maturity yield to maturity A 1 5% B 2 6 U 3 6.5 D 4 7 Try to construct market's expectation of the yield curve one year from now according to the expectations hypothesis. What is the expected yield to maturity on a 2-year zero coupon bond to be issued one year later? 0 7.68% 0 7.26% 7.51% 07.01%
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