17. Problem 4-18 (Determinants of Interest Rates) LO eBook Determinants of Interest Rates The real risk-free rate is 4%. Inflation is expected to be 3% this year, 5% next year, and then 3% thereafter. The maturity risk premium is estimated to be 0.0003 (t 1), where t - number of years te maturity. What is the nominal interest rate on a 7-year Treasury security? Do not round intermediate calculations. Round your answer to two decimal places. % Grade It Now Save & Continue Continue without saving