Assume that the 4-year spot rate is k4=2.437% and the 3-year spot rate is k3 = 2.25%. What is the forward rate in the fourth year? Express your answer in percentage form. %

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Assume that the 4-year spot rate is k4=2.437% and the 3-year spot rate is k3 =
2.25%. What is the forward rate in the fourth year?
Express your answer in percentage form.
%
Transcribed Image Text:Assume that the 4-year spot rate is k4=2.437% and the 3-year spot rate is k3 = 2.25%. What is the forward rate in the fourth year? Express your answer in percentage form. %
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