A gold mining company issued bonds 5 years ago. The bonds will mature 5 years from now. News breaks out that the companys flagship mine just got irreparably flooded. What will happen to the yield on the companys bonds?

Select one:

a.The yield will go up.

b.The yield will go down.

c.The yield will remain the same.

d.It does not make sense to talk about a yield in such dire circumstances.