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The yield to maturity on ACL bonds maturing in 2005 is 8.75 percent. The yield to maturity on a similar maturity U.S. Government Treasury bond

The yield to maturity on ACL bonds maturing in 2005 is 8.75 percent. The yield to maturity on a similar maturity U.S. Government Treasury bond is 7.06 percent and the yield on Treasury bills is 6.51 percent. What is the default risk premium on the ACL bond?

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