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17. A company's 5-year bonds are yielding 19.3% per year. The real risk-free rate (ra) is 2.3%. The inflation premium is 2.4%, the liquidity premium
17. A company's 5-year bonds are yielding 19.3% per year. The real risk-free rate (ra) is 2.3%. The inflation premium is 2.4%, the liquidity premium is 1.3%, and the default risk premium is 0.9%. What is the maturity risk premium on the corporate bonds? O ) a) 0.5% O b) 1.4% c) 2.7% d) 3.3% O e) None of the above
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