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Provide two estimates of the investment return on the bond. Assume that the risk free-rate is 2.5% and market expected risk premium is 7%. (in

Provide two estimates of the investment return on the bond. Assume that the risk free-rate is 2.5% and market expected risk premium is 7%. (in your estimates use non-recession values and assume that in default debtholders lose 60% of the promised cashflows). If you did not compute YTM in a) you may assume that YTM = 6.5%. Otherwise, use your own estimate from a)

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