When the Default Risk on Corporate Bonds Decreases,other Things Equal,the

question 71

Multiple Choice

When the default risk on corporate bonds decreases,other things equal,the demand curve for corporate bonds shifts to the ________ and the demand curve for Treasury bonds shifts to the ________.

• A) right; right
• B) right; left
• C) left; left
• D) left; right

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Definitions:

Property Taxes

Taxes assessed on real estate by local government, based on the property's value.

Contribution Margin

The amount remaining from sales revenue after all variable expenses have been deducted.

Photo-prints

Photographic images produced on paper or other substrates from digital or film originals.

Industrial Photo-finishing

Refers to the commercial process of developing and printing photographic images on a large scale, typically for businesses.