(Answered) The inflation risk premium on a bond is 2 percent the us

Management Studies

The inflation risk premium on a bond is 2 percent, the US T-bill rate is 5 percent, the maturity risk premium on the bond is 3 percent the default risk premium on the bond is 2 percent and the liquidity risk premium on the bond is 1 percent. Calculate its normal rate of return

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Business Management, Management Studies

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