Some characteristics of the determinants of nominal interest rates are listed as follows. Identify the components (determinants) and the symbols associated with each characteristic: Component Symbol IP LP Characteristic This is the difference between the interest rate on a US Treasury bond and a corporate bond of the same profile--that is, the same maturity and marketability, This is the premium that reflects the risk associated with changes in interest rates for a long-term security. This is the rate on a Treasury bill or a Treasury bond. It is based on the bond's marketability and trading frequency, the less frequently the security is traded, the higher the premium added, thus increasing the interest rate. This is the rate on short-term US Treasury securities, assuming there is no inflation. This is the premium added to the real risk-free rate to compensate for a decrease in purchasing power over time. MRP TRH DRP r Some characteristics of the determinants of nominal interest rates are listed as follows. Identify the components (determinants) and the symbols associated with each characteristic: Characteristic Component Symbol Real risk-free rate Default risk premium This is the difference between the interest rate on a US Treasury bond and a corporate bond of the same profile that is, the same maturity and marketability. This is the premium that reflects the risk associated with changes in interest rates for a long-term security. This is the rate on a Treasury bill or a Treasury bond. It is based on the bond's marketability and trading frequency; the less frequently the security is traded, the higher the premium added, thus increasing the interest rate. This is the rate on short-term US Treasury securities, assuming there is no inflation, This is the premium added to the real risk-free rate to compensate for a decrease in purchasing power over time. Nominal risk-free rate Inflation premium * Liquidity risk premium Maturity risk premium