1. The spread between the yield on a four-year corporate bond and the yield on a similar risk- free bond is 95 basis points. The recovery rate is 25%. Estimate the average hazard rate per year over the four-year period. Suppose that the spread between the yield on a seven-year bond issued by the same company and the yield on a similar risk-free bond is 268 basis points. Assume the same recovery rate of 25%. Estimate the average hazard rate per year over the seven-year period. What do your results indicate about the average hazard rate in years 5, 6 and 7