Default risk premium on the corporate bond

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If 10-year T-bonds have a yield of 9.1%, 10-year corporate bonds yield 14.1%, the maturity risk premium on all 10-year bonds is 1.4%, and corporate bonds have a 0.7% liquidity premium versus a zero liquidity premium for T-bonds, what is the default risk premium on the corporate bond in percent?

Reference no: EM131853998

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