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Supposethatthe9-monthand12-monthLIBORrates are 2% and 2.3%, respectively. All rates are quarterly compounded. Assume that LIBOR is used as the risk- free discount rate. What is the

Supposethatthe9-monthand12-monthLIBORrates are 2% and 2.3%, respectively. All rates are quarterly compounded. Assume that LIBOR is used as the risk- free discount rate.

What is the forward LIBOR rate for the period between 9 months and 12 months?

What is the value of an FRA where 3% is received and LIBOR is paid on $10 million for the period?

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