Multiple Choice
When the zero curve is upward sloping, which two of the following is true? choose two)
A) The one-year zero rate is always greater than the forward rate for the period between 1 year and 1.5 years.
B) The one-year zero rate is always less than the forward rate for the period between 1 year and 1.5 years.
C) The one-year par yield is always greater than the one-year zero rate.
D) The one-year par yield is always less than the one-year zero rate.
Correct Answer:

Verified
Correct Answer:
Verified
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