Question
Not sure about this one. Any help is appreciated. Thx! Which of the following statements is true? Treasury bonds have zero default risk. The longer
Not sure about this one. Any help is appreciated. Thx!
Which of the following statements is true?
Treasury bonds have zero default risk.
The longer the maturity of a bond, the less risky it is.
The real risk-free rate incorporates an inflation premium.
Liquidity premium is included only for highly liquid securities.
The default risk is greater for AAA-rated corporate bonds than for BBB-rated bonds with the same features.
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Foundations Of Finance
Authors: Arthur J Keown, John D Martin, J William Petty
7th Edition
0133370356, 9780133370355
