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3. Starbucks Corp. whose bond rating is Baal has a 10-year bond that is traded at 92.46% of its face value of $1,000. This means
3. Starbucks Corp. whose bond rating is Baal has a 10-year bond that is traded at 92.46% of its face value of $1,000. This means its yield to maturity is 5.86%. A 10-year Treasury bond's yield to maturity is 4.83%. Please provide 2 possible reasons why the Starbucks bond has a higher yield than that of Treasury?
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