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eBook The real risk-free rate is 2.75%, and inflation is expected to be 2.50% for the next 2 years. A 2-year Treasury security yields 7.75%

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eBook The real risk-free rate is 2.75%, and inflation is expected to be 2.50% for the next 2 years. A 2-year Treasury security yields 7.75% What is the maturity risk premium for the 2-year security? Round your answer to two decimal places. Check My Work (1 remaining) eBook The real risk-free rate is 3.2%. Inflation is expected to be 2.65% this year, 4.3% next year, and 2.95% thereafter. The maturity risk! premium is estimated to be 0.05 x (t : 1)%, where t - number of years to maturity. What is the yield on a 7-year Treasury note? Do not round intermediate calculations. Round your answer to two decimal places. A company's 5-year bonds are yielding 7.1% per year. Treasury bonds with the same maturity are yielding 5.6% per year, and the real risk-free rate (r) is 2.40%. The average inflation premium is 2.80%, and the maturity risk premium is estimated to be 0.1 x (t- 1)%, where t= number of years to maturity. If the liquidity premium is 1.05%, what is the default risk premium on the corporate bonds? Round your answer to two decimal places. oc

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