Raw X 2 Prae x W RON X C 21 x The C 2.1 x hot x C Sol. Mint X Calc X Ass g.ca/d/e/content/27261/viewContent/679176/View were previous Preuict WNUT WIT Wupperto Teyretu Curve, (a) assuming the expectations theory of the term structure holds; (b) assuming the segmented markets theory of the term structure holds. 2. The table below shows current one-year interest rate and current interest rates on multi-year bonds. What is the forward rate in Year 2 (i.e., the 1-year interest rate that is expected to prevai in year 2)? Year 1-year Bond Rate 2% ? Multi-year Bond Rate 2% 1 2 3.5% 3. After careful analysis, you have determined that a firm's dividends should grow at 7%, om