What is the yield on seven-year treasury note

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Reference no: EM131869722

The real risk-free rate is 3.15%. Inflation is expected to be 3.2% this year, 4.7% next year, and 2.75% thereafter. The maturity risk premium is estimated to be 0.05 × (t - 1)%, where t = number of years to maturity. What is the yield on a 7-year Treasury note? Do not round your intermediate calculations. Round your answer to two decimal places.

Reference no: EM131869722

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