Calculate the default risk premium on nikkig

Assignment Help Basic Statistics
Reference no: EM131182181

NikkiG's Corporation's 10-year bonds are currently yielding a return of 7.05 percent. The expected inflation premium is 1.10 percent annually and the real risk-free rate is expected to be 2.10 percent annually over the next ten years. The liquidity risk premium on NikkiG's bonds is 0.25 percent. The maturity risk premium is 0.40 percent on 2-year securities and increases by 0.07 percent for each additional year to maturity. Calculate the default risk premium on NikkiG's 10-year bonds. (Round your answer to 2 decimal places.)

Reference no: EM131182181

Questions Cloud

How much of the variation is explained by diversity : Population Variation = 84.4-0.13×diversity. How much of the variation is explained by diversity? How much of the variation is explained by diversity?
Create an overall operations and supply chain plan : Create an overall operations and supply chain plan based on a product that received funding by one (or more) of the "sharks" in the hit reality show Shark Tanks.
How the company introduced the new product to customers : The impact of technology on customers in regard to the following: How the company introduced the new product to customers
Find current court case involving computer crime : Summarize the case and judge for yourself if there really was a crime committed or not. Explain your reasoning based on the laws you researched for your state
Calculate the default risk premium on nikkig : The maturity risk premium is 0.40 percent on 2-year securities and increases by 0.07 percent for each additional year to maturity. Calculate the default risk premium on NikkiG's 10-year bonds. (Round your answer to 2 decimal places.)
Analyze the types of people that work at google : Analyze the types of people that work at Google, with respect to the business culture of the organization. Indicate one to two (1-2) qualities that define a leader at Google, and determine the typical background of a Google employee
President can control the price of gasoline : Find the minimum sample size needed, using a prior study that found that 42% of the respondents said they think their president can control the price of gasoline.c) Compare the results from parts (a) and (b).
Grams of pyridoxine : The amount of pyridoxine (in grams) in a multiple vitamin is normally distributed with mean = 110 grams and standard deviation = 25 grams. What is the probability that a randomly selected vitamin will contain between 82 and 100 grams of pyridoxine..
Describe how you would ensure data security : Describe what type of SQL Server you recommend, your suggestion for installing it, and the minimum system requirements - Describe how you would ensure data security.

Reviews

Write a Review

Basic Statistics Questions & Answers

  Random variable having a geometric distribution

A single observation of a random variable having a geometric distribution is used to test the null hypothesis θ = θ0 against the alternative hypothesis θ = θ1 > θ0.

  What is the probability that 5 of the people there are

at parkview at any given time the probability that a randomly selected student is a female is 30. with this binomial

  Name the variable of interest

The faculty members at Boise State University were surveyed on the question "How satisfied were you with the Summer 2002 Schedule?" Their responses were to be categorized as "very satisfied," "somewhat satisfied," "neither satisfied nor dissatisfi..

  Probabiity and flu epidemic

There a flu epidemic that is spreading across SF County. You are a principle and are in charge of 32 teachers. You want to plan ahead and be able to estimate how many substitute teachers the school may need during this epidemic.

  Expected value that maximizes profits

1. What is your recommendation to the president based on expected value that maximizes profits (EMV). 2. Provide a second recommendation to the president that minimizes regret.

  Use this information to determine the minimum sample size

each year management accounting reports the results of a salary survey of the members of the institute of management

  Probabity using the table of the normal distribution

What do you notice about the two histogrum and (therefore) about the estimates of probability of getting above 0?

  Non parametric-wilcoxon rank-sum test

Please use a combination of content and supportive examples.

  If a random sample of 65 married women are selected what is

sociologists say that 80 of married women claim that their husbands mother is the biggest bone of contention in their

  Estimate probability less had switched majors in two years

If a random sample of 500 third year students is taken at a city university, what is an estimate of the probability that 20 percent or less had switched majors within their first two years?

  Find outcomes from a die that is perfectly fair and unbiased

The outcomes that you would expect from a die that is perfectly fair and unbiased. Does the loaded die appear to differ significantly from a fair die that has not been "loaded?"

  Describing name of parts of regression equation

Write down the name of 4 parts of the regression equation.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd