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A 30-day T-bill is currently yielding 6.5%. The following information is available: inflation premium = 4.0%, liquidity premium = 0.6%, maturity risk premium = 1.8%

A 30-day T-bill is currently yielding 6.5%. The following information is available: inflation premium = 4.0%, liquidity premium = 0.6%, maturity risk premium = 1.8% and default risk premium = 2.15%. On the basis of these data, the nominal risk-free rate is ____________ and the real risk-free rate is _________________.

Select one:

a. 2.5%; 5.5%

b. 5.5%; 1.9%

c. 6.5%; 2.5%

d. 5.5%; 2.5%

e. 1.5%; 3.0%

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