# Question

Suppose that the following weekly interest rate volatility estimates are computed as: absolute rate change = 3.85 basis points and percentage rate change = 2.14%.

Answer the below questions.

(a) What is the annualized volatility for the absolute rate change?

(b) What is the annualized volatility for the percentage rate change?

Answer the below questions.

(a) What is the annualized volatility for the absolute rate change?

(b) What is the annualized volatility for the percentage rate change?

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