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Question 3 Suppose the rate on one-year Treasury strips currently is 6 percent and One-year AA-rated zero- coupon bond yielding 9.5 percent. Assume that if

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Question 3 Suppose the rate on one-year Treasury strips currently is 6 percent and One-year AA-rated zero- coupon bond yielding 9.5 percent. Assume that if the loan is defaulted, no payments are expected. (3) What is the market- determined risk premium for the corresponding probability of default for this security? 1 pts Convert your answer to percentage format. Enter your answer rounded to 2 decimals, and without any units. So, for example, if your answer is 3.4568%, then just enter 3.46

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