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DQuestion 4 1 pts A particular security's equilibrium rate of return is 12%. For all securities, the inflation risk premium is 2.75 percent and the

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DQuestion 4 1 pts A particular security's equilibrium rate of return is 12%. For all securities, the inflation risk premium is 2.75 percent and the real interest rate is 3 percent. The security's liquidity risk premium is 50 percent and maturity risk premium is .75 percent. The security has no special covenants. What is the security's default risk premium? Hint: i IP + RIR DRP +LRP+SCP MRP @ 2% 3% @ 4% 5% 6%

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