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Question: You note the following yield curve in The Wall Street Journal. According to the unbiased expectations hypothesis, what is the one-year forward rate for the period beginning two years from today, 3 f1 ?
Maturity Yield
One day 2.00%
One year 5.50
Two years 6.50
Three years 9.00
you are a small business owner and you have the opportunity to expand your facility which will increase your production
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