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Home / Questions / A 2year Treasury security currently earns 194 percent Over the next two years the real ris...

A 2year Treasury security currently earns 194 percent Over the next two years the real risk free rate is expected to be 100 percent per year and the inflation premium is expected to be

A 2-year Treasury security currently earns 1.94 percent. Over the next two years, the real risk free rate is expected to be 1.00 percent per year and the inflation premium is expected to be 0.50 percent per year. Calculate the maturity risk premium on the 2-year Treasury security.

 

 

A 2 year Treasury security currently earns 1 94 percent Over the

Apr 30 2020 View more View Less

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