In mid-2009, Rite Aid had CCC-rated, 9-year bonds outstanding with a yield to maturity of 17.3%. At the time, similar maturity Treasuries had a yield of 2% Suppose the market risk premium is 5% and you believe Rite Aid's bonds have a beta of 0.35. The expected loss rate of these bonds in the event of default is 53% a. What annual probability of default would be consistent with the yield to maturity of these bonds in mid-2009? b. In mid-2015, Rite Aid's bonds had a yield of 6.8%, while similar maturity Treasuries had a yield of 1.5%. What probability of default would you estimate now? a. What annual probability of default would be consistent with the yield to maturity of these bonds in mid-2009? The required return for this investment is % (Round to two decimal places) The annual probability of default is %. (Round to two decimal places.) b. In mid-2015, Rite-Aid's bonds had a yield of 6.8%, while similar maturity Treasuries had a yield of 1.5%. What probability of default would you estimate now? The probability of default will be %. (Round to two decimal places)