A Treasury bond that matures in 10 years has a yield of 4.00%. A 10-year...

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A Treasury bond that matures in 10 years has a yield of 4.00%. A 10-year corporate bond has a yield of 7.50%. Assume that the liquility premium on the bond is 0.70%. What is the default risk premium on the corporate bond? Round your answer to two decimal places

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