Using expectations theory-forecast the yields on securities

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The yield on 1-year Treasury securities is 6%, 2-year securities yield 6.2%, and 3-year securities yield 6.3%, and 4-year securities yield 6.5%.There is no maturity risk premium. Using expectations theory, forecast the yields on the following securities. a) A 1-year security, 1 yr from now. b) A 1-year seurity, 2 years from now c) A 2-year security, 1 year from now d) A 3-year security, 1 year from now.

Reference no: EM131130900

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