Use the term structure of riskfree interest rates below (continuous compounding) Year Rate 1 2,5% 2 3,0% 3 3,4% 4 3,7% 5 4,0% a) What is the implied forward rate between years 2 and 3 (continuous compounding)? Use two decimals. % b) Convert the continuous forward rate in b) into the equivalent forward rate with annual compounding. Use two decimals. % c) What is the value of a forward rate agreement in which you receive a fixed rate of 5% and pay the 1-year rate (annual compounding)? The nominal amount is $1 000 000. $ -5601.81 x (6350 6450)