The three-year zero rate is 7% and the four-year zero rate is 7.5% (both continuously compounded. What

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The three-year zero rate is 7% and the four-year zero rate is 7.5% (both continuously compounded. What is the forward rate for the fourth year?

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Options Futures and Other Derivatives

ISBN: 978-0134472089

10th edition

Authors: John C. Hull

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Question Posted: Dec 29, 2017 07:33 AM

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The three-year zero rate is 7% and the four-year zero rate is 7.5% (both continuously compounded. What

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The forward rate for the fourth year can be calculated as The threeye...View the full answer

Options Futures and Other Derivatives

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