1. If a bond has a credit rating of A, which of the following is not true:

1. The bond has more risk than a government bond
2. The bond is considered a junk bond
3. The bond is less risky than a BBB bond
4. The bond is currently making all of its debt payments

2. Which of the following is not a feature of a clearing house:

1. It is used to reduce counter party risk
2. It requires participants to put money into a margin account safe guarding both sides from loss
3. Contracts are not standardized allowing for customized contracts
4. Positions are marked to market on each trading day