Consider the following 1000 par value zero-coupon bonds
Consider the following $1,000 par value zero-coupon bonds:
Bond Years to Maturity Yield to Maturity
A 1 6.70 %
B 2 8.20%
C 3 8.70%
D 4 9.20%
E 5 10.50%
The expected 1-year interest rate 2 years from now should be _________.
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