Question: Given the Term Structure below: 1 year = 3 . 9 % 2 years = 4 . 6 % 3 years = 5 . 8

Given the Term Structure below:
1 year =3.9%
2 years =4.6%
3 years =5.8%
4 years =6.8%
5 years =7.7%
Based on the expectations hypothesis, what does the market expect the 1 year rate in 4 year to be?
Enter your answer as a percentage, without the percentage sign ('%'), and rounded to 1 decimal. Example: if your answer is 0.12345, that's equivalent to 12.3%, so enter 12.3

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