A Bond with Default Risk Will Always Have a ________

question 50

Multiple Choice

A bond with default risk will always have a ________ risk premium and an increase in its default risk will ________ the risk premium.

• A)positive;raise
• B)positive;lower
• C)negative;raise
• D)negative;lower

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Definitions:

Opioid Analgesic

A type of medication used to relieve pain by acting on the central nervous system, derived from opiates or synthesized to mimic their effects.

Bran Cereal

A type of breakfast food made from the hard outer layers of cereal grains, high in fiber and nutrients.

Prune Juice

A fruit juice made from prunes that is often used for its laxative effects to alleviate constipation.

Constipation

A common digestive system condition where individuals have infrequent bowel movements or difficulty passing stools.