What is year zero rate

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The cash prices of six-month and one-year Treasury bills are 97.0 and 94.0, respectively. A 1.5-year bond that will pay coupons of $4 every six months currently sells for $100. A two-year bond that will pay coupons of $5 every six months currently sells for $102. What is 1.5 year zero rate? Please enter your answer as a percent with two decimal places, e.g. six point five percent should be entered as 6.50.

Reference no: EM133118893

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