Question: pls help will upvote asap! Question 7 (1 point) The current yield curve for treasuries is as follows: Maturity (years) YTM 1 0.5% 2 0.9%

pls help will upvote asap!

Question 7 (1 point) The current yield curve for treasuries is as follows: Maturity (years) YTM 1 0.5% 2 0.9% 3 0.95% Compute the forward rate for the third year. Enter your answer as a decimal, rounded to 4 decimal places. Your Answer: Answer Question 8 (1 point) (Continued from the previous question) If you believe in the liquidity preference theory, what is your best guess as to the 3rd year's short-term interest rate relative to the forward rate you computed in the previous question? higher than the forward rate. lower than the forward rate. same as the forward rate

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