Kern Corporation's 5-year bonds yield 7.45% and 5-year T-bonds yield 4.35%. The real risk-free rate is r* -2.70%, the default risk premium for Kern's bonds is DRP = 1.80% versus zero for T-bonds, the liquidity premium on Kern's bonds is LP-1.30%, and the maturity risk premium for all bonds is found with the formula MRP (t-1) x 0.1%, where t number of years to maturity. What is the inflation premium (IP) on all 5-year bonds? O a. 1.25% b. 0.50% c.1.80% Od. 1.22% Oe. 2.15%