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There Is an Inverse Relationship Between Bond Ratings and the Required

question 77

True/False

There is an inverse relationship between bond ratings and the required return on a bond. The required return is lowest for AAA rated bonds, and required returns increase as the ratings get lower (worse). 

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Definitions:

Rock Records

Hard, solid materials of the earth's surface, containing a record of the planet's geological history.

Unconsciously

Without conscious awareness; occurring in the mind without one's conscious recognition or realization.

Feature Detector

Neurons in the brain that respond to specific attributes or patterns, such as shapes, angles, or movement.

Visual Cortex

The portion of the cerebral cortex responsible for processing visual data, situated at the brain's rear.

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