Calculate the risk premium for each of the following rating classes of long-term securities, assuming a

4.38% yield to maturity (YTM) for comparable Treasuries.

Rating class	Nominal interest rate
AAA	4.82%
BBB	6.11
B	7.46

Question

Part 1

The risk premium for securities class AAA is ? %. (Round to two decimal places)

Part 2

The risk premium for securities class BBB is ? %. (Round to two decimal places)

Part 3

The risk premium for securities class B is ? %. (Round to two decimal places)