Question:Suppose today a one year ZCB is priced at 0.97, a two year ZCB
is priced...
Question
Suppose today a one year ZCB is priced at 0.97, a two year ZCB
is priced...
Suppose today a one year ZCB is priced at 0.97, a two year ZCB
is priced at 0.95 and a three year ZCB is priced at 0.92. What is
the implied forward rate for a one year loan starting one year from
now? What is the implied forward rate for a one year loan starting
two years from now?