Question 1. Money market instruments include: A. T-bonds. B. T-bills. C. preferred stock. D. common stock. _______________________ Questions 2. The current 3 months Treasury bill rate is 1.25%, the 30 year Treasury bond rate is 4.55%, the 30 year AAA rated corporate bond rate is 7.25% and the inflation rate is 1.1%. XYZ company's bond will be traded in New York Bond Exchange and will have a liquidity premium of 10 basis points. What will be the reasonable estimate of the default risk premium of XYZ's bond? A. 3.3% b. 2.45%. c. 1.35%. d. 2.70%.