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#7. A five (5) year corporate bond and it's benchmark U.S. Treasury bond had the following yields over a one-month period: Corporate Bond Yield: 6.75

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#7. A five (5) year corporate bond and it's benchmark U.S. Treasury bond had the following yields over a one-month period: Corporate Bond Yield: 6.75 % Beginning of Month; 7.00 % End of the Month; U.S. Government Comparable Bond Yield: 4.25% Beginning of Month; 4.75 % End of Month; Over this month, the Price ($) of the Corporate bond most likely experienced ? A) Unfavorable macroeconomic and microeconomic factors; B) Favorable macroeconomic factors and Unfavorable microeconomic factors; C) Unfavorable macroeconomic factors and Favorable microeconomic factors ? Hint: the Corporate bond's yield spread to its benchmark decreased (not increased) from 250 to 225 basis points, which suggests microeconomic factors were ........ for the bond's price ! Expand

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