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Suppose the term structure of interest rates is as follows: Term 1 yr 2 yr 3 yr 4 yr 5 yr 6 yr 7 yr

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Suppose the term structure of interest rates is as follows: Term 1 yr 2 yr 3 yr 4 yr 5 yr 6 yr 7 yr Annual Spot rate 2.0% 3.0% 4.5% 5% 6.0% 6.5% 7.0% Find the 3-year forward rate starting at time 2 that is implied by these spot rates

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