The wall street journal reports that the current rate on, Financial Management

The wall street journal reports that the current rate on

The Wall Street Journal reports that the current rate on 5-year Treasury bonds is 2.25 percent and on 10-year Treasury bonds is 4.15 percent. Assume that the maturity risk premium is zero.

Calculate the expected rate on a 5-year Treasury bond purchased five years from today, E(5r5). (Do not round intermediate calculations and round your answer to 2 decimal places.)

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