Jack Hancock Insurance company has invested in two securities a) a 15 year Treasury Bond yielding 6-20%, and b) a 15 year Admiral Motors A rated Corporate bond for which the default risk premium for a comparable security is 1.1% and the liquidity premium is 35%. The inflation premium is 3.5%. for a 15 year security. What is the yield for the Admiral Motors 15 your A rated Corporate bood? 2.6.20% Ob.76596 OC 11.15 d.4.95% O 6.9.7044 The expected return for Stock Z is 30 percent. If we know the following information about Stock Z, then what return will it produce in the Lukewarm state of the world? State Probability Return Poor 0.25 20% Lukewarm 0.50 ? Dynamite 0.25 40% Oa. 20% Ob 30% 40% OC Od 6596 O e. 50%