Question: 6 2.(25 points) Suppose that some interest rates with continuous.compounding are as follows: Maturity (months) Rate per 6 12 18 24 64 6.6 a). What
6 2.(25 points) Suppose that some interest rates with continuous.compounding are as follows: Maturity (months) Rate per 6 12 18 24 64 6.6 a). What is the forward rate for the month period starting in one b). What is the forward rate will sentimal compounding? c) There is an FRA that enables the holder to earn 7.1% (with semiannual compounding) forg 6-mozalle period starring in one war on a principal of $1 million. What is the value of the FRAP 6 2.(25 points) Suppose that some interest rates with continuous.compounding are as follows: Maturity (months) Rate per 6 12 18 24 64 6.6 a). What is the forward rate for the month period starting in one b). What is the forward rate will sentimal compounding? c) There is an FRA that enables the holder to earn 7.1% (with semiannual compounding) forg 6-mozalle period starring in one war on a principal of $1 million. What is the value of the FRAP
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