3.08 3.23 4.84 The following table summarizes the yields to maturity on several one-year, zero-coupon securities: Security Yield (%) Treasury AAA corporate BBB corporate 4.13 B corporate a. What is the credit spread on AAA-rated corporate bonds? b. What is the credit spread on B-rated corporate bonds? c. How does the credit spread change with the bond rating? Why? a. What is the credit spread on AAA-rated corporate bonds? The credit spread on AAA-rated corporate bonds is .15%. (Round to two decimal places.) b. What is the credit spread on B-rated corporate bonds? The credit spread on B-rated corporate bonds is 1.76%. (Round to two decimal places.) c. How does the credit spread change with the bond rating? Why? (Select the best choice below.) O A. The credit spread decreases as the bond rating rises because higher-rated bonds are riskier. OB. The credit spread increases as the bond rating rises because higher-rated bonds are riskier. C. The credit spread increases as the bond rating falls because lower-rated bonds are riskier. D. The credit spread decreases as the bond rating falls because lower-rated bonds are riskier