If 10-year T-bonds have a yield of 6.2%, 10-year corporate bonds yield 9.8%, the maturity risk premium on all 10-year bo
Posted: Fri Jul 01, 2022 7:46 am
If 10-year T-bonds have a yield of 6.2%, 10-year corporate bondsyield 9.8%, the maturity risk premium on all 10-year bonds is 1.3%,and corporate bonds have a 0.46% liquidity premium versus a zeroliquidity premium for T-bonds, what is the default risk premium onthe corporate bond?
Group of answer choices
3.20%
3.81%
3.14%
2.46%
2.72%
Group of answer choices
3.20%
3.81%
3.14%
2.46%
2.72%