Lennar corporations one year bond has a yield equal to 49, Financial Management

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Lennar corporations one year bond has a yield equal to 49

Lennar Corporations one year bond has a yield equal to 4.9%. Suppose that the maturity risk premium (MRP) for all bonds with maturities greater than one year is 0.15% per year. Based on this information, what should be the yield on Lennars five year bonds. Please round your answer 2 decimal places.

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Financial Management: Lennar corporations one year bond has a yield equal to 49

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