Question: Given your needs, you want to borrow $1,000,000 now for 5 years, another $1,000,000 each starting 1, 2, 3, 4 years from now. Each of

Given your needs, you want to borrow $1,000,000 now for 5 years, another $1,000,000 each starting 1, 2, 3, 4 years from now. Each of these loans are to be repaid at the end of year 5. You want your bank to quote you a single rate for each of these loans. What would be the fair rate if current borrowing rates are 4.0%, 3.9%, 3.75%, 3.6%, 3.5% for 1, 2, 3, 4, 5 year maturities?

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