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We have the following yield curve: 12% at 1-year, 10% at 2-year, 7% at 3-year, and 8% at 4-year. What is the 2-year rate, 2

We have the following yield curve: 12% at 1-year, 10% at 2-year, 7% at 3-year, and 8% at 4-year.

What is the 2-year rate, 2 years from now based on the yield curve?

Question 8 options:

0.0482

0.0604

0.0152

None of the options are correct

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