You are analyzing a $1$ year corporate bond that pays a single $4\%$ coupon at the end

of the year. The bond has a par value of $$100$ and a yield to maturity of $5\%.$ The

risk free rate is $3\mathrm{.}75\%.$

What do you estimate the Expected Loss on the bond to be$?$

$$0\mathrm{.}711$

$$1\mathrm{.}193$

$$0\mathrm{.}952$

$$0\mathrm{.}241$