You are considering an investment in 30 -year bonds issued by Moore Corporation. The bonds have no special covenants. The Wall Street Journal reports that 1-year T-bills are currently earning 2.25 percent. Your broker has determined the following information about economic activity and Moore Corporation bonds: Real risk-free rate =0.85% Default risk premium =2.15% Liquidity risk premium =1.40% Maturity risk premium =2.75% a. What is the inflation premium? (Round your answer to 2 decimal places.) b. What is the fair interest rate on Moore Corporation 30 -year bonds? (Round your answer to 2 decimal places.)