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Find the yield on a 8-year corporate bond with maturity risk premium estimated to be 0.1*( t -1) %, where t is time to maturity.
Find the yield on a 8-year corporate bond with maturity risk premium estimated to be 0.1*(t-1) %, where t is time to maturity. Inflation premium is 2% and default risk premium of 0.5%. Assume that real risk-free rate is 1% and liquidity premium is 0.4%.
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