The current one-year t-bill rate is .49 percent and the expected one-year rate 12 months from now is 1.00 percent. according to the unbiased expectations theory, what should be the current rate for a two-year treasury security?

u rich

step-by-step explanation:

step-by-step explanation:

1 number

if we use a graphing calculator, there is only one such number that satisfies the conclusion of the mean value theorem, that is, a number such that

where the right-hand side is the average rate of change of f on the interval [0.5,0.75], which is the slope of the secant line.

in the attached graph, the black line is the secant line which has its slope as the average rate of change of f on [0.5,0.75], while the orange line is the only tangent line to the graph of f in the interval that satisfies the mvt conclusion.

35-60 students are taking math.