Question: Problem 4 Assume that the continuously compounded zero rate curve is re(0, t) 0.050.01 In(1 2 (i) find the instantaneous interest rate curve (ii) compute

Problem 4 Assume that the continuously compounded zero rate curve is

Problem 4 Assume that the continuously compounded zero rate curve is re(0, t) 0.050.01 In(1 2 (i) find the instantaneous interest rate curve (ii) compute the corresponding annually compounded zero rate curve Problem 4 Assume that the continuously compounded zero rate curve is re(0, t) 0.050.01 In(1 2 (i) find the instantaneous interest rate curve (ii) compute the corresponding annually compounded zero rate curve

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