1. Your bond portfolio has a probability of default of 3%/year, loss given default of 60%, and a weighted average contractual rate of 5.5%/year. A) What is the expected loss per year? B) What is the expected yield per year? (Your answers should be a % carried to one place.)

Answer rating: 100% (QA)

A Expected loss per year Probability of default x Loss give... View the full answer