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If the 10-year Treasury bond rate is 5.4%, the inflation premium is 2.5%, and the maturity-risk premium on 10-year Treasury bonds is 0.2%, assuming
If the 10-year Treasury bond rate is 5.4%, the inflation premium is 2.5%, and the maturity-risk premium on 10-year Treasury bonds is 0.2%, assuming that there is no liquidity-risk premium on these bonds, what is the real risk-free interest rate? + The real risk-free interest rate is %. (Round to one decimal place.)
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Foundations of Finance The Logic and Practice of Financial Management
Authors: Arthur J. Keown, John D. Martin, J. William Petty
8th edition
132994879, 978-0132994873
