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What contract yield must the loan carry

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Question: In a one-period world, if the conditional yield degradation is 10%, the unconditional default probability is 15%, and the lender wants an expected return of 8%, what contract yield must the loan carry? The response must be typed, single spaced, must be in times new roman font (size 12) and must follow the APA format.

Reference no: EM131735446

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