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Suppose that the prices of zero - coupon bonds with various maturities are given in the following table. The face value of each bond is

Suppose that the prices of zero-coupon bonds with various maturities are given in the following table. The face value of each bond is $1,000.Maturity (Years)Price1$ 996.042895.893833.924772.805675.18Required:Calculate the forward rate of interest for each year.How could you construct a 1-year forward loan beginning in year 3?How could you construct a 1-year forward loan beginning in year 4?

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