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Suppose that you observe the following term struchure for Treasury securitic Assume that the pure expectiations theory of the term stracture is correct. (Thi can

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Suppose that you observe the following term struchure for Treasury securitic Assume that the pure expectiations theory of the term stracture is correct. (Thi can use the yield carve peovided to "back out" the markerivexpectations abor roles) What does the market expect will be the intecest rate on 1.year securit new? What does the market expect will be the interest rate on Jyear securinis 6) bow? Cakculate the yolds indeg geometric averages

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