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Suppose the interest rate on a 1 - year T - bond is 4 . 3 0 % and that on a 2 - year

Suppose the interest rate on a 1-year T-bond is 4.30% and that on a 2-year T-bond is 5.90%. Assuming the pure expectations theory is correct, what is the market's forecast for 1-year rates 1 year from now? Do not round your intermediate calculations. Round your final answer to 2 decimal places.
a.5.10%
b.7.52%
c.5.86%
d.4.82%
e.7.85%
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