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A lender requires a continuously compounded yield of 5% for a 10-year $1000 loan. There is a 6% chance that the loan will not be

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A lender requires a continuously compounded yield of 5% for a 10-year $1000 loan. There is a 6% chance that the loan will not be repaid (and that the lender will not receive even a partial repayment) Calculate the continuously compounded rate the lender must charge in order to have an ezpected continuous return of 5%

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