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cant get the answers You are considering an investment in 30-year bonds issued by Moore Corporation. The bonds have no special covenants. The Wall Street

cant get the answers
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You are considering an investment in 30-year bonds issued by Moore Corporation. The bonds have no special covenants. The Wall Street Joumal reports that 1-year T-bills are currently earning 2.05 percent. Your broker has determined the following information about economic activity and Moore Corporation bonds: Real risk-free rate =0.65% Default risk premium =1.95% Liquidity risk premium =1.40% Maturity risk premium =2.55% a. What is the inflation premlum? (Round your answer to 2 decimal places.) b. What is the fair interest rate on Moore Corporation 30-year bonds? (Round your answer to 2 decimal places.)

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