2- A callable bond pays annual interest of $60, has a par value of $1000, matures in 4 years but is callable in 3 years at a price of $1030, and has a value today of $980. The yield to call on this bond is

3- A Treasury bond due in 1 year has a yield of 4%, while a Treasury bond due in 3 years has a yield of 9%. A bond due in 3 years issued by High Country Marketing Corp. has a yield of 11%, while a bond due in 1 year issued by High Country Marketing Corp. has a yield of 15%. The default risk premium on the 3-year bonds issued by High Country Marketing Corp. is