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Question The current one-year T-bill rate .43

Question : Question The current one-year T-bill rate .43 : 5636

Question

The current one-year T-bill rate is .43 percent and the expected one-year rate 12 months from now is 1.40 percent. According to the unbiased expectations theory, what should be the current rate for a two-year Treasury security? (Do not round intermediate calculations. Round your answer to 2 decimal places).

Current Rate ______ %

Please explain it carefully

 

Solution
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Finance 11 Months Ago 142 Views
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