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Click here to read the eBook: The Determinants of Market Interest Rates DEFAULT RISK PREMIUM A Treasury bond that matures in 10 years has a
Click here to read the eBook: The Determinants of Market Interest Rates DEFAULT RISK PREMIUM A Treasury bond that matures in 10 years has a yield of 4.25%. A 10-year corporate bond has a yield of 10%. Assume that the liquidity premium on the corporate bond is 0.25%. What is the default risk premium on the corporate bond? Round your answer to two decimal places
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