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Excel Online Structured Activity: interest rate premiums A.5-year Treasury bond has a 3.35% yield. A 10 -year Treasury bond yields 6.15%, and a 10 -year

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Excel Online Structured Activity: interest rate premiums A.5-year Treasury bond has a 3.35% yield. A 10 -year Treasury bond yields 6.15%, and a 10 -year corporate bond ylelds 9.35%. The market expects that inflation will average 3.6% over the next 10 years (tP10=3.6% ). Assume that there is no matunty risk. premium (MRP = 0) and that the annual real riskfree rate, f, will remain constant over the next 10 years. (Hint: Remember that the default risk premium and the liquidity premium are zero for Treasury securities: DRP =(P=0.) A 5 -year corporate bond has the same default risk premlum and liquidity premlum as the 10 -year corporate bond described. The data has been collected in the Microsoft Excel Online fle below. Open the spreadsheet and perform the required analysis to answer the question below

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