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Expected Interest Rate The real risk-free rate is 2.5%. Inflation is expected to be 1.5% this year and 3.5% during the next 2 years Assume

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Expected Interest Rate The real risk-free rate is 2.5%. Inflation is expected to be 1.5% this year and 3.5% during the next 2 years Assume that the maturity risk premium is zero. a. What is the yield on 2-year Treasury securities' Do not round intermediate calculations % b. What is the yield on 3-year Treasury securities? Do not round intermediate calculations. %

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