Question $25$

If the annualized yield on a $3-$year security is $13\%,$ the annualized $2-$year interest rate is $10\%,$ and the $1$ year interest rate is $9\%.$ The forward rate two years ahead is $$ percent.

$1\mathrm{.}8$

$9\mathrm{.}0$

$15\mathrm{.}0$

$19\mathrm{.}25\%$