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(Interest rate determination You're looking at some corporate bonds issued by Ford, and you are trying to determine what the nominal interest rate should be

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(Interest rate determination You're looking at some corporate bonds issued by Ford, and you are trying to determine what the nominal interest rate should be on them. You have determined that the real risk-free interest rate is 3.8%, and this rate is expected to continue on into the future without any change. In addition, Inflation is expected to be constant over the future at a rate of 3.8%. The default-risk premium is also expected to remain corwant at a rate of 24%, and the liquidity risk premium is very well for Ford bonds, only about 0.06%. The maturity risk premium is dependent upon how many years the band has to maturity. The maturityisk premium are shown in the popup Window Civen this information, what should the nominal rate of interest on Ford bonds maturing in 0-1 year, 1-2 years, 2-3 years, and 34 years be? The nominal rate of interest on Ford Honda maturing in B-1 year should be Round to two decimal places.) Data Table The nominal rate of interest on Ford bonds matuning in 1-2 years should bex (Round to two decimal places The nominal rate of interest on Ford bonds maturing in 2-3 years should be. Round to two decimal places) (Click on the following soon in order to copy its content into a spreadsheet) The nominal rate of interest on Ford bonda maturing in 34 years should be bound to two decimal places) BOND MATURES IN MATURITY-RISK PREMIUM 0-1 year 0.06% 12 yos 0.25% 2-3 years 0.00% 0.15% 3-4 years Print Done

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