Knowing that the one-year and two-year fixed deposit interest rates of banks are 3% and 3.75%, the forward interest rate in the second year is ( ).
A: 4.51%
B: 3.00%
C: 3.75%
D: 3.60%
A: 4.51%
B: 3.00%
C: 3.75%
D: 3.60%
举一反三
- If a one-year bond pays a fixed interest rate of 2.5% per year and this year's inflation rate is 2.8%, what is your real rate of return? A: 0.053 B: 0.028 C: 0.025 D: 0.003 E: -0.003
- Smith borrowed $21,000 on a one year Note payable with an interest rate of 10% per year on June 1. He will repay the principal and interest at the end of the one-year period. Smith makes accrual adjustments at the end of each month. He should record interest expense of $2,100 on June 30.
- A security that pays $52.50 in one year and $110.25 in two years, with an interest rate of 5 percent, has a present value of
- If you expect the inflation rate to be 15 percent next year and a one - year bond has a yield to maturity of 7 percent, then the real interest rate on this bond is _________
- By next year interest rates will have dropped by 1%. It is anticipated...................................