A Treasury bond that matures in 7 years has a yield of 6.45%. A 7 year corporate

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A Treasury bond that matures in 7 years has a yield of 6.45%. A 7 year corporate bond has a yield of 7.60%. Assume the liquidity premium on the corporate bond is 0.25%. What is the default risk premium on the corporate bond? 0.90% 4.10% 1.10% 3.15%

Posted Date: Jul 11, 2024 07:29 PM

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A Treasury bond that matures in 7 years has a yield of 6.45%. A 7 year corporate

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