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Components or yield or return on investment

Question: Please list the three components or any yield or return on investment. What is the estimated risk premium of a certificate of deposit that matures in 10 years and has a yield or return of 14 percent? Your research shows that a Treasury Bond which matures in 10 years has a yield of 7.3 percent. Assume a risk free rate of 2 percent for this problem.

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Finance Basics: Components or yield or return on investment

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