The components included in required rate of return on bond

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Reference no: EM131603503

1. An increase in the riskiness of a particular security would NOT affect?

the risk premium for that security.

the premium for expected inflation.

the total required return for the security.

investors' willingness to buy the security.

2. Which of the following is not one of the components included in the required rate of return on a bond?

Risk premium

Real rate of return

Inflation premium

Maturity payment

Reference no: EM131603503

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