1. What factors cause the supply of funds curve to shift? 2. What factors cause the demand for funds curve to shift? 3. A particular security's equilibrium rate of return is 8 percent. For all securities, the inflation risk premium is 1.75 percent and the real risk-free rate is 3.5 percent. The security's liquidity risk premium is 0.25 percent and maturity risk premium is 0.85 percent. The security has no special covenants. Calculate the security's default risk premium 4. A two-year Treasury security currently earns 1.94 percent. Over the next two years, the real risk-free rate is expected to be 1.00 percent per year and the inflation premium is expected to be 0.50 percent per year. Calculate the maturity risk premium on the two-year Treasury security. 5. Suppose that the current one-year rate (one-year spot rate) and expected one-year T-bill rates over the following three years (i.e., years 2, 3, and 4, respectively) are as follows: 1R1=6%E2r1=7%E3r1=7.5%,E4r1=7.85% Using the unbiased expectations theory, calculate the current long-term) rates for one-, two, three-, and four-year-maturity Treasury securities