A Bond's Rating Can Depend on All of the Following

question 52

Multiple Choice

A bond's rating can depend on all of the following except

• A) the corporation's debt-equity ratio.
• B) the corporation's size.
• C) the ability of the firm to make interest payments.
• D) the coupon rate on the bond.

---

Definitions:

Personality Trait

A characteristic, stable in an individual's personality that dictates how they consistently behave, perceive, and emotionally respond.

Non-Common Effects

Effects of behaviour that are relatively exclusive to that behaviour rather than other behaviours.

Outcome Bias

Belief that the outcomes of a behaviour were intended by the person who chose the behaviour.

Disposition

An individual's inherent qualities of mind and character.