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Disney Inc's 5-year bonds yield 7.50% and 5-year T-bonds yield 5.80%. The real risk-free rate is r* = 2.5%, the default risk premium for Disney's

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Disney Inc's 5-year bonds yield 7.50% and 5-year T-bonds yield 5.80%. The real risk-free rate is r* = 2.5%, the default risk premium for Disney's bonds is DRP = 0.40%, the liquidity premium on Disney's bonds is LP = 1.3% versus zero on T-bonds, and the inflation premium (IP) is 1.5%. What is the maturity risk premium (MRP) on all 5-year bonds? 1.51% 1.46% 02.12% 2.00% 1.80% Disney Corporation's 5-year bonds yield 8.00%, and 5-year T-bonds yield 5.15%. The real risk-free rate is r = 3.0%, the inflation premium for 5-year bonds is IP = 1.75%, the liquidity premium for Disney's bonds is LP = 0.75% versus zero for T-bonds, and the maturity risk premium for all bonds is found with the formula MRP = (t - 1) x 0.1%, where t= number of years to maturity. What is the default risk premium (DRP) on Disney's bonds? O 2.12% 02.10% 0 2.16% O 2.18% O 2.48% &

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