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    Fixed Income Analysis
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    Exam 7: The Term Structure and Interest Rate Dynamics
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    Which Forward Rate Cannot Be Computed from the One-, Two-
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Which Forward Rate Cannot Be Computed from the One-, Two-

Question 18

Question 18

Essay

Which forward rate cannot be computed from the one-, two-, three-, and four-year spot
rates? The rate for a:
A. one-year loan beginning in two years.
b. two-year loan beginning in two years.
C. three-year loan beginning in two years.

Correct Answer:

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