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Assume the average default probability for Intel Corp. is 1.13% (average Hazard Rate) and the recovery rate is estimated to be 45%, then Intel Corp.'s
Assume the average default probability for Intel Corp. is 1.13% (average Hazard Rate) and the recovery rate is estimated to be 45%, then Intel Corp.'s bonds should be expected to trade with a (fair value *) credit spread of roughly _____ basis points above the risk-free rate. *fair value here means a credit spread that will compensate investors for the expected loss from default 085 62 51 0251 205
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