If Zeus Energy Bonds Are Upgraded from BBB- to BBB

question 88

Multiple Choice

If Zeus Energy bonds are upgraded from BBB- to BBB+, which of the following statements is true?

• A) The current bond price will increase.
• B) Interest rates required on new bond issues will increase.
• C) The current bond price will decrease.
• D) The current bond price will increase and interest rates on new bonds issues will decrease.

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