suppose that economists have determined that the real risk-free rate of return i

suppose that economists have determined that the real risk-free rate of return is 3 percent and that inflation is expected to average 2.5 percent per year long into the future. A one year treasury note offers a rate of return equal to 5.6 percent. You are evaluating two corporate bonds: bond A which has a rate of return r A equal to 8 percent and bond B which has a rate fo return rB equal to 7.5 percent. Except for their maturities these bonds are identical-bond A matures in 10 years whereas bond B matures in five years. You have determined that both bonds are very liquid thus neither bond has a liquidity premium. Assuming that there is an MRP for bonds with maturities equal to one year or longer compute the annual MRP. What is the DRP associated with corporate bonds.