Calculate the three one-year forward rates

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Reference no: EM131987432

You are given the following information about spot rates:

Year Spot rate

1 4.50%

2 4.90%

3 5.60%

4 6.40%

Calculate the three one-year forward rates (f1,1, f2,1, and f3,1), the two two-year forward rates (f1,2 and f2,2), as well as the one three-year forward rate (f1,3).

Reference no: EM131987432

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