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Question 19 Suppose you have an investment opportunity with 10-year horizon. What fixed income security provides a good estimate of the the risk-free rate for

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Question 19 Suppose you have an investment opportunity with 10-year horizon. What fixed income security provides a good estimate of the the risk-free rate for this project? O Treasury Notes O Treasury Bonds Municipal Securities O Treasury Bills Question 20 The 1 year T-bill has a yield of 2%. The 10-year T-bond has a yield of 7%. A CCC rated 10-year corporate bond has a yield of 11%. Suppose these bonds have different liquidity. What is the term premium and the default risk premium? O None of the choices Term premium is 5% and the default risk premium is 4% These bonds are not comparable enough to compute these premiums. Term premium is 4% and the default risk premium is 5%

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