Suppose unilever knows it will need to borrow money

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Suppose Unilever knows it will need to borrow money in 4 months for a 8- month period, it risks interest rate increases by waiting 4 months to borrow. Then what’s the appropriate forward forward rate if we are given conditions: LIBOR4 = 6.5%, LIBOR12 = 6.95% ?

Reference no: EM131918705

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