You are considering an investment in 30-year bonds issued by a corporation. The bonds have no special covenants.The Wall Street Journalreports that 1-year T-bills are currently earning 5.30 percent. Your broker has determined the following information about economic activity and the corporation bonds:

Real interest rate = 4.90%

Default risk premium = 4.05%

Liquidity risk premium = 1.15%

Maturity risk premium = 3.80%

What is the inflation premium? What is the fair interest rate on the corporation's 30-year bonds?