Question $4$

$10$ pts

The rate on the current $9-$year Treasury is $6\mathrm{.}86\%$ and the rate on the current $10-$year Treasury is $7\mathrm{.}51\%.$ According to the unbiased expectations theory, what does the market expect the one$-$year Treasury rate to be $9$ years from now?

Question $5$

$10$ pts

You find the following Treasury rates for the yield curve: ${?}_1{R}_1=4\mathrm{.}33\%,{?}_1{R}_2=5\mathrm{.}25\%,{?}_1{R}_3=5\mathrm{.}55\%,1_4=6\mathrm{.}01\%,1R_5=7\mathrm{.}2\%.$ If the unbiased expectation theory holds, what is the one$-$year rate expected four years from today?