The table below exhibits information on the nominal interest rates for four types of securities:

Type	Total Risk (Interest Rate)
90-day U.S. Treasury Bills	1.00%
30-Year U.S. Treasury Bonds	2.50%
30-Year Municipal Bonds	2.75%
30-Year Corporate Bonds	3.25%

Consider another a 10-year U.S. Treasury note. Suppose that the real risk-free rate is 0.4%, the inflation premium is expected to be 0.6%, and the maturity risk premium is 1.0%. What is the nominal interest rate on this bond?

		1.0%
		1.4%
		1.6%
		2.0%