Question: 4. Given the annual forward volatility below. a) What is the 5-year spot volatility? b) What is the forward volatility for years 3 to 5

4. Given the annual forward volatility below. a) What is the

4. Given the annual forward volatility below. a) What is the 5-year spot volatility? b) What is the forward volatility for years 3 to 5

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