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The 6-month, 12-month, 18-month, and 24-month zero rates are 5.00%, 5.50%, 6.00%, and 6.50% with semi-annual compounding. Q2: What is the forward rate for the
The 6-month, 12-month, 18-month, and 24-month zero rates are 5.00%, 5.50%, 6.00%, and 6.50% with semi-annual compounding. Q2: What is the forward rate for the six-month period beginning in 12 months (i.e., F12,18)? If you use Eq 4.5 or 4.6, convert the forward rate into semi-annual compounding rate
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