Question: If a 2-year Keys bond yields 12.5% and the default risk premium for Keys' bonds is 0.50%. What is the liquidity premium on Keys' bonds?

If a 2-year Keys bond yields 12.5% and the default risk

If a 2-year Keys bond yields 12.5% and the default risk premium for Keys' bonds is 0.50%. What is the liquidity premium on Keys' bonds? Select one: a. 19.5% b. 0.5% c. 1.0% d. 1.5% e. 3.5% If a 2-year Keys bond yields 12.5% and the default risk premium for Keys' bonds is 0.50%. What is the liquidity premium on Keys' bonds? Select one: a. 19.5% b. 0.5% c. 1.0% d. 1.5% e. 3.5%

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