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Suppose we observe the following rates: ? 1 R 1 = 4 . 2 % , ? 1 R 2 = 5 . 1 %

Suppose we observe the following rates: ?1R1=4.2%,?1R2=5.1%, and E(2r1)=4.2%. If the liquidity premium theory of the term structure
of interest rates holds, what is the liquidity premium for year 2?(Round your intermediate calculations to 5 decimal places and final
answer to 2 decimal places. (e.g.,32.16))
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