Question: The yield on a one - year Treasury security is 4 . 2 3 0 0 % , and the two - year Treasury security

The yield on a one-year Treasury security is 4.2300%, and the
two-year Treasury security has a 5.0760% yield. Assuming that the
pure expectations theory is correct, what is the markets estimate
of the one-year Treasury rate one year from now? (Note: Do not
round your intermediate calculations.)5.0396%6.7589%7.5297%5.9289%Recall that on a one-year Treasury security the yield is 4.2300%
and 5.0760% on a two-year Treasury security. Suppose the one-year
security does not have a maturity risk premium, but the two-year
security does and it is 0.25%. What is the markets estimate of the
one-year Treasury rate one year from now? (Note: Do not round your
intermediate calculations.)5.4254%6.185%6.8903%4.6116%Suppose the yield on a two-year Treasury security is 5.83%, and
the yield on a five-year Treasury security is 6.20%. Assuming that
the pure expectations theory is correct, what is the markets
estimate of the three-year Treasury rate two years from now? (Note:
Do not round your intermediate calculations.)7.10%6.45%6.69%6.61%

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