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The one-year interest rate over the next 10 years will be 1.5%, 2.0%, 2.5%, 3%, 3.5%, 4%, 4.5%, 5%, 5.5%, 6%. If you are ready
The one-year interest rate over the next 10 years will be 1.5%, 2.0%, 2.5%, 3%, 3.5%, 4%, 4.5%, 5%, 5.5%, 6%. If you are ready to buy a five-year bond that yields 3.25%, what is your minimum required liquidity premium for this period? 1.5% 1.25% 2.0% 1.0% 0.75%
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