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1. What is the default risk premium on 30-year AAA corporate bonds? Assume there exist liquid markets for AAA corporate bonds.

2. (TRUE or FALSE?) According to the doctrine of reasonable expectations, courts interpret contracts as would a person who is trained in the law.

a. FALSE

b. TRUE

3. John made an investment for four years. After four years he obtained a total amount of $20,736 from his bank. If interest rate was 20% per year, what was his interest on interest?

Financial Management, Finance

  • Category:- Financial Management
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