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Corporate Credit Spreads Credit Spread in Basis Points Time to Maturity 1 3 5 10 Rating 20 AAA 30 65 90 110 100 130 AA

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Corporate Credit Spreads Credit Spread in Basis Points Time to Maturity 1 3 5 10 Rating 20 AAA 30 65 90 110 100 130 AA 50 95 140 170 250 310 A 90 125 175 200 BBB 120 150 220 BB 225 300 350 520 250 450 620 1050 B 680 320 500 420 700 500 850 CCC 1300 Central Perk Co. just issued 20-yr coupon bonds rated at BBB. The bonds sold at their $100 par value. Question 11 (5 points) Listen If 20-yr Treasury Bonds with no credit risk have a YTM of 3.7% Using the spread table above find the coupon rate on Central Perk's BBB bond? (Reminder: Price = $100 par value) Enter your answer as a whole number without a % sign (i.e. for 5.4% simply enter 5.4) Your

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