Which of the Following Arranges Bond Issuers from Least Risky

question 37

Multiple Choice

Which of the following arranges bond issuers from least risky to most risky (left to right) ?

• A)large corporations-government-small corporations
• B)small corporations-large corporations-government
• C)government-small corporations-large corporations
• D)government-large corporations-small corporations

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Definitions:

Memorandum

A written document or note that helps in remembering or conveying information, intentions, or understanding between parties.

Constructive Trust

An equitable remedy that treats a person as if they were a trustee, usually because they have wrongfully obtained or held legal right to property they should not benefit from.

Undue Influence

Undue Influence occurs when one party uses its position of power over another to induce the latter into making a legal agreement that they would not have made under normal circumstances.

Descent and Distribution

Refers to the legal process through which property is transferred from a deceased person to their heirs or beneficiaries.