Question
Using a recent edition of the Wall Street Journal or a reliable on-line source (cite your source) Provide the yields for the following securities: Security
Using a recent edition of the Wall Street Journal or a reliable on-line source (cite your source)
- Provide the yields for the following securities:
| Security | maturity | yield | premium |
| US Treasury | 10-year | 1.291 | -0.9600 |
| Corporate Hi-quality(Aa) | 10-year | 1.94 |
|
| Corporate medium-quality (Baa) | 10-year | 2.19 |
|
| Municipal (tax-exempt) | 10-year | 0.68 |
|
2. If credit (default) risk is the only reason for yield differentials, then what is the default risk premium?
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Finance Applications And Theory
Authors: Marcia Cornett, Troy Adair, John Nofsinger
1st Edition
0073382256, 9780073382258
