Question: A Treasury bond due in 2 year has a yield of 2%, while a Treasury bond due in 5 years has a yield of 1.5%.

A Treasury bond due in 2 year has a yield of 2%, while a Treasury bond due in 5 years has a yield of 1.5%. A bond due in 5 years issued by High Country Marketing Corp. has a yield of 3.5%, while a bond due in 2 year issued by High Country Marketing Corp. has a yield of 2.7%. The default risk premium on the 5-year bonds issued by High Country Marketing Corp. is?

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