10-year t bonds have a yield of 53 and 10 year corporate, Ask an Expert

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10-year T Bonds have a yield of 5.3% and 10 year corporate bonds yield 6.75%. Also, corporate bonds have a .25% liquidity premium versus a zero liquidity premium for T-bonds, and the maturity risk premium on both Treasure and corporate 10 year bonds is 1.15%. What is the Default Risk Premium on a 10 year treasury bond (Show the formula and the calculations to fill in the blanks) _____%=_______% minus _____% minus _____$

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M91726642

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