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Acme Coporate Bonds are curently yielding 9.75%, and you have found the following interest premiums that relate to this investment. Inflantion Premium: 1.75% Liquidity premium:

Acme Coporate Bonds are curently yielding 9.75%, and you have found the following interest premiums that relate to this investment.

Inflantion Premium: 1.75%

Liquidity premium: 0.75%

Defualt risk Premium: 1.50%

Maturity Risk Premium: 0.50%

What is the real risk free rate of return?

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