Other Things Being Equal, the Yield Required on A-Rated Bonds

question 32

Multiple Choice

Other things being equal, the yield required on A-rated bonds should be ____ the yield required on B-rated bonds whose other characteristics are exactly the same.

• A)greater than
• B)equal to
• C)less than
• D)All of these are possible, depending on the size of the bond offering.

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Definitions:

Leading Exporter

A country or company that is the most significant or dominant provider of particular goods to international markets.

World's Leading

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Gross Domestic Product

Gross Domestic Product (GDP) is the total monetary or market value of all the finished goods and services produced within a country's borders in a specific time period.

Monetary Value

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