Which of the Following Factors Could Explain Difference in Yields

question 9

Multiple Choice

Which of the following factors could explain difference in yields on bonds with the same time to maturity?

• A) default risk
• B) interest rate risk
• C) credit risk
• D) all of the above

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Definitions:

Premature Death

The occurrence of death before the expected lifespan, often due to factors like disease, accidents, or violence.

Personal Protective Equipment

Clothing or gear designed to protect individuals from specific hazards and risks in the workplace or environment, including masks, gloves, and safety goggles.

Safety Glasses

Protective eyewear designed to prevent injury or damage to the eyes from physical hazards, particles, or light radiation.

Economic Feasibility

The assessment of the cost-effectiveness of a proposed project or solution.