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A below investment grade corporation (rated BB) issues a 5 year bond which they have the option of calling at par face value in two

A below investment grade corporation (rated "BB") issues a 5 year bond which they have the option of calling at par face value in two years.

Please select all the reasons which may increase the probability of the bond being called in two years (multiple answers are correct)

The US Treasury yield curve has experienced all securities across the maturity spectrum having a yield much lower than when the bond was issued.

The credit risk premium for the issuer has increased significantly while treasury rates are unchanged

The bond indenture contains restrictive financial covenants which restricts the company from selling assets at a large gain

The implied interest rate volatility for US Treasuries is expected to increase significantly

The company has a large capital expenditures program over the next 5 years

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