Question: Problem 1 5 - 8 a . Assuming that the expectations hypothesis is valid, compute the expected price of the four - year zero coupon
Problem
a Assuming that the expectations hypothesis is valid, compute the expected price of the fouryear zero coupon bond shown be the end of i the first year; ii the second year; iii the third year; iv the fourth year. Do not round intermediate calculations. Ro your answers to decimal places.
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