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Niendorf Corporation's 5 - year bonds yield 1 1 . 2 5 % , and 5 - year T - bonds yield 4 . 8
Niendorf Corporation's year bonds yield and year Tbonds yield The real riskfree rate is the inflation premium for year bonds is IP the default risk premium for Niendorf's bonds is DRP versus zero for Tbonds, and the maturity risk premium for all bonds is found with the formula where number of years to maturity. What is the liquidity premium LP on Niendorf's bonds?
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