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A Treasury bond that matures in 10 years has a yield of 6%. A 10-year corporate bond has a yield of 9.75%. Assume that the
A Treasury bond that matures in 10 years has a yield of 6%. A 10-year corporate bond has a yield of 9.75%. Assume that the liquidity premium on the corporate bond is 0.65%. What is the default risk premium on the corporate bond? Round your answer to two decimal places
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The Everything Improve Your Credit Book
Authors: Justin Pritchard
1st Edition
1598691554, 978-1598691559
