2.Judy Johnson is choosing between investing in two Treasury securities that mat

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2.Judy Johnson is choosing between investing in two Treasury securities that mature in five years and have par values of $1,000. One is a Treasury note paying an annual coupon of 5.06 percent. The other is a TIPS which pays 3 percent interest annually: a.what is its price if investors required rate of return is 6.09 percent on similar bonds? Treasury notes pay interest semiannually. b. Herron corporation wants to issue five-year notes but investors require a credit risk spread of 3 percentage points. What is the anticipated coupon rate on the Erron notes? Type your question here

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(a) If inflation remains constant at 2 percent annually over the next five years, what will be Judy

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