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Question 13 8 pts The real risk-free rate of interest, r, is 4%, and it is expected to remain constant over time. Inflation is expected

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Question 13 8 pts The real risk-free rate of interest, r, is 4%, and it is expected to remain constant over time. Inflation is expected to be 2% per year for the next three years, after which time inflation is expected to remain at a constant rate of 6% per year. The maturity risk premium is equal to 0.1t - 1)%, where t is the bond's time to maturity. The liquidity and default risk premia on 10-year corporate bonds are 2.0% and 2.5%, respectively. What is the yield to maturity on a 10-year Treasury bond? 10.0% 10.3% 9.3% 8.8% 9.7%

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