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15 Question 3 (4 points) Saved Investors use U.S. Treasury bonds are as a benchmark to determine the default risk on a bond 17 18 True False 5 6 7 B 9 Question 4 (4 points) The liquidity premium theory holds that investors always choose the bond with the highest expected return, regardless of maturity O require a term premium to compensate them for investing in a less preferred maturity. view bonds of different maturities as perfect substitutes. none of the answers are correct 10 11 12 13 15