A treasury bond that matures in 8 years has a yield of 324, Financial Management

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A treasury bond that matures in 8 years has a yield of 324

A Treasury bond that matures in 8 years has a yield of 3.24%. A 8-year corporate bond has a yield of 7.8%. Assume that the liquidity premium on the corporate bond is 0.36%. What is the default risk premium on the corporate bond? State you answer as a percentage to 2 decimal places.

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Financial Management: A treasury bond that matures in 8 years has a yield of 324

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Financial Management: A treasury bond that matures in 8 years has a yield of 324

Reference No:- TGS01393400

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