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The Wall Street Journal reports that the rate on 5-year Treasury securities is 7.15 percent and the rate on 6-year Treasury securities is 7.65 percent.

The Wall Street Journal reports that the rate on 5-year Treasury securities is 7.15 percent and the rate on 6-year Treasury securities is 7.65 percent. The 1-year risk-free rate expected in five years is, E(6r1), is 8.25 percent. According to the liquidity premium hypotheses, what is the liquidity premium on the 6-year Treasury security, L6?

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