Question: 2 Low 18. Based on Table 3, what is the liquidity risk premium? Table 3 Investment Maturity Liquidity Default Risk High Low 2 I 2
2 Low 18. Based on Table 3, what is the liquidity risk premium? Table 3 Investment Maturity Liquidity Default Risk High Low 2 I 2 Low I 3 7 I Low Low 4 8 High High Low 5 8 Low High A. 3.40% B. 0.81% C. 1.50% 10000 UN Interest Rate 3.00% 3.81% 4.81% 5.25% 6.75% I 19. Based on Table 3, what is the default risk premium? A. 0.69% B. 1.25% C. 0.44% D. 1.50%
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