Examlex
What is intuition? Give an example to support your definition. Should managers use intuition in decision making? Why or why not?
Default Risk Premiums
The additional yield that investors require to hold debt that has a risk of default over a risk-free debt instrument.
Yield
Yield is the earnings generated and realized on an investment over a particular period of time, expressed as a percentage of the investment’s cost or current market value.
Treasury Bond
A long-term government bond with a maturity of more than 10 years used to fund federal expenditures.
Default Risk Premiums
The extra yield that an investor demands to compensate for the risk that the issuer of a bond may default on payment.
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