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The current one-year T-bill rate is .43 percent and the expected one-year rate 12 months from now is 1.40 percent. According to the unbiased expectations
The current one-year T-bill rate is .43 percent and the expected one-year rate 12 months from now is 1.40 percent. According to the unbiased expectations theory, what should be the current rate for a two-year Treasury security? (Do not round intermediate calculations. Round your answer to 2 decimal places).
Current Rate ______ %
Please explain it carefully
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