Given the YTMs of zero-coupon bonds of four maturities below and assuming the expectations hypothesis holds,...

Given the YTMs of zero-coupon bonds of four maturities below and assuming the expectations hypothesis holds, calculate the yield on a three-year bond expected to obtain at the end of year 1. Please enter your answer in percent rounded to the nearest basis point.

Maturity	YTM
1	5%
2	6%
3	6.5%
4	7%

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jeff jeffy answered 1 year ago

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