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Kop corporations has issued a 5 year bond, and t bonds with the same maturity yield 4.4%. the default risk premium for kop's bonds is
Kop corporations has issued a 5 year bond, and t bonds with the same maturity yield 4.4%. the default risk premium for kop's bonds is .4 %, the liquidity premium on kops bonds is LP = 1.7 %, the inflation premium is 1.5% and the maturity risk premium on 5 year bonds is . 4 %. what is the yield on kops 5 year bond?
please show work :) Thank you!
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