Question: Question 3 1 pts A zero-coupon bond has a beta of 0.3 and promises to pay $1000 next year with a probability of 95%. If

Question 3 1 pts A zero-coupon bond has a beta of

Question 3 1 pts A zero-coupon bond has a beta of 0.3 and promises to pay $1000 next year with a probability of 95%. If the bond defaults, it will pay nothing. One -year Treasury securities are yielding 2%, and the equity premium is 5%. What is the time premium for this bond investment? 4.8% 2.0% 1.9% 5.0%

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