18. The higher the rating on the bond, the . (LO 14-3) a. Higher the interest rate...

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18. The higher the rating on the bond, the . (LO 14-3)

a. Higher the interest rate the issuer has to pay.

b. Higher the risk of default of the bond.

c. Lower the risk of default on the bond.

d. The rating has no effect on the interest rate and does not rate the risk of a bond.

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Personal Finance Building Your Future

ISBN: 9780077861728

2nd Edition

Authors: Robert Walker, Kristy Walker

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