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The Dunley Corp. plans to issue 5 - year bonds. It believes the bonds will have a BBB rating. Suppose AAA bonds with the same

The Dunley Corp. plans to issue5-year bonds. It believes the bonds will have a BBB rating. Suppose AAA bonds with the same maturity have a 6% yield. If the market risk premium is 8%, use the annual default rates by debt rating here, LOADING..., and average debt betas by rating and maturity here, LOADING....

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