Question: Suppose that zero interest rates with continuous compounding are as follows: Maturity( years) Rate (% per annum) 1 . 2.0 2 . 3.0 3 .

Suppose that zero interest rates with continuous are as follows:
Maturity( years) Rate (% per annum)
1 ……………………………………. 2.0
2 ……………………………………. 3.0
3 ……………………………………. 3.7
4 ……………………………………. 4.2
5 ……………………………………. 4.5

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