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Squire Inc.'s 5 -year bonds yield 6.75%, and 5-year T-bonds yield 4.80%. The real risk-free rate is r=2.75%, the inflation premium for 5 -year bonds

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Squire Inc.'s 5 -year bonds yield 6.75%, and 5-year T-bonds yield 4.80%. The real risk-free rate is r=2.75%, the inflation premium for 5 -year bonds is IP=1.65%, the default risk premium for Squire's bonds is DRP =1.20% versus zero for T-bonds, and the maturity risk premium for all bonds is found with the formula MRP =(t1)0.1%, where t= number of years to maturity. What is the maturity risk premium (MRP) and the liquidity premium (LP) on Squire's bonds? MRP=LP= Problem 2 (75 points): Congratulations, you have been hired as an analyst at the Procter and Gamble Co. (PG). It is November 1, 2022. PG just made a coupon payment (semi-annual) on its "8\% 2049" bonds that mature on November 1,2049 . The bonds currently sell for 106 with a par value of 100

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