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The fixed rate on a 0x12 FRA is 3% and the fixed rate on a 12x24 FRA is 6%. In both FRA's the floating rate

The fixed rate on a 0x12 FRA is 3% and the fixed rate on a 12x24 FRA is 6%. In both FRA's the floating rate is 12-month LIBOR. In the absence of arbitrage, what would be the fixed rate on two-year, annual settlement interest rate swap on 12-month LIBOR?

3.00%

6.00%

4.46%

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