What is the price of a ZCB maturing in two years

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Reference no: EM131868080

The current one-year and two-year libor rates are 1.1% and 1.2%, respectively.

(a) What is the price of a ZCB maturing in 2 years?

(b) What is the quarterly compounded one-year forward one-year rate?

Reference no: EM131868080

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