Assume that the 1-year interest rate is 6% and the 2-year interest rate is 7% per year.
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Suppose you lend 100 today for one year at 6 and borrow 100 today for two years at 7 Your ...View the full answer
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Related Book For
Fundamentals of Corporate Finance
ISBN: 978-1259024962
6th Canadian edition
Authors: Richard Brealey, Stewart Myers, Alan Marcus, Devashis Mitra, Elizabeth Maynes, William Lim
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