Crockett Corporation's 5-year bonds yield 6.35%, and 5-year T-bonds yield 4.45%. The real risk-free rate is r* = 2.80%, the default risk premium for Crockett's bonds is DRP = 1.00% versus zero for T-bonds, the

liquidity premium on Crockett's bonds is LP = 0.90% versus zero for T-bonds, and the maturity risk premium for all bonds is found with the formula MRP = (t - 1) 0.1%, where t = number of years to maturity. What inflation premium (IP) is built into 5-year bond yields?

Crockett Corponation': 5-year boods yield 6.35\%, and 5-year T-bonds yield 4.45%. The real risk-frne rate is r=2.80%, the defuult risk premium for Crocket's bonds is DRP = Loos versus aero for T-boods, the inflation premium (IP) is built into 5 -year bond yields? a. took b. 1.23sin c. 1.54 d. 1.22i , 0.75