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YIELD CURVE FOR ZERO COUPON BONDS RATED AA

Question 42

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YIELD CURVE FOR ZERO COUPON BONDS RATED AA
YIELD CURVE FOR ZERO COUPON BONDS RATED AA Assume that there are no liquidity premiums. To the nearest basis point,what is the expected interest rate on a four-year maturity AA zero coupon bond purchased six years from today? A) 10.41 percent B) 10.05 percent C) 9.16 percent D) 10.56 percent E) 9.96 percent
Assume that there are no liquidity premiums.
To the nearest basis point,what is the expected interest rate on a four-year maturity AA zero coupon bond purchased six years from today?


A) 10.41 percent
B) 10.05 percent
C) 9.16 percent
D) 10.56 percent
E) 9.96 percent

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