The Quality Ratings Assigned to Bonds Reflect The

question 50

Multiple Choice

The quality ratings assigned to bonds reflect the:

• A) probability of their face value increasing to above their market value.
• B) probabilities of their going into default.
• C) probabilities of different returns on their sinking fund investments.
• D) probabilities of their maturity value becoming lower than the principal value.
• E) probabilities of their being recalled by the exercise of a call provision.

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Definitions:

Silicon Tetrahedron

A fundamental building block in silicate minerals, consisting of a silicon atom surrounded by four oxygen atoms in a tetrahedral arrangement.

Cleavage

A geological term referring to the tendency of minerals to break along specific planes of weakness due to their crystal structure.

Silicon Tetrahedron

A structural unit in silicate minerals, consisting of four oxygen atoms surrounding a silicon atom in a tetrahedral shape.

Cleavage

The tendency of a mineral to break along flat surfaces as determined by the mineral's crystal structure.