Question: Help Suppose that the yield on a two-year Treasury security is 5.84%, and the yield on a five-year Treasury security is 6.54%. Assuming that the
Suppose that the yield on a two-year Treasury security is 5.84%, and the yield on a five-year Treasury security is 6.54%. Assuming that the pure expectation theory is correct, what is the market's estimate of the three-year Treasury rate two years from now? The error margin will allow either arithmetic or geometric averaging on this question. Your answer should be between 5.58 and 7.98, with no special characters. You may round to 4 decimal places if you wish, but only 2 decimal places are necessary for a correct answer. D Question 6 5 pts Marin Company's bonds mature in 8 years, have a par value of $1.000, and make an annual coupon interest payment of $65. The market requires an interest rate of 5.45% on these bonds. What is the bond's price Your answer should be between 1000.00 and 1120.00, rounded to 2 decimal places with no special characters
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