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Suppose that all investors expect that interest rates for the 4 years will be as follows: What is the yield to maturity of a 3-year

Suppose that all investors expect that interest rates for the 4 years will

be as follows:

What is the yield to maturity of a 3-year zero-coupon bond?

o 7.03%

o 9.00%

o 6.99%

o 7.49%

o None of the above

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