Abstract. The yield curve, often referred to as the term structure of interest rates, is a graph of the relationship between the yields on Treasury securities or some other homogeneous groups of fixed-income securities and the time-to-maturity. The shape of the yield curve reflects the market's expectation about future interest rate moves, inflation outlook, and market conditions. The forward rate computed from (that is, implied by) the successive zero-coupon (spot) rates is the rate of interest specific to the security between two future dates. More importantly the implied forward rate is considered to be arbitrage-free. It is widely used as a pricing vehicle for forward trading contracts. In this note we will be focusing on the concepts and calculations of par, spot, and forward rates.