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QUESTION 7 Investors usually obtain bond ratings from private bond-rating agencies like the Standard & Poor's Corporation. The information provided by Standard & Poor's reflects

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QUESTION 7 Investors usually obtain bond ratings from private bond-rating agencies like the Standard & Poor's Corporation. The information provided by Standard & Poor's reflects the: size of the coupon payment relative to the face value likelihood the lender will be repaid by the borrower, return a holder is likely to receive. size of the coupon rate relative to other interest rates QUESTION 8 Which of the following would be most likely to earn an AAA rating from Standard & Poor's? A 10-year bond issued by the Japanese government. A bond issue by a new Information technology company. A 10-year bond issued by the New York state. Shares of stock in google. QUESTION 9 Your read in the financial news pages of the morning paper that ratings agencies have downgraded the bonds issued by the state you live in. How will this affect the market for these bonds? Yields on these bonds will decrease and the yield on Treasury bonds will increase. The yield on these bonds will not change, nor will the yield on Treasury bonds The yield on these bonds and on Treasury bonds will both decrease. Yields on these bonds will increase. QUESTION 7 Investors usually obtain bond ratings from private bond-rating agencies like the Standard & Poor's Corporation. The information provided by Standard & Poor's reflects the: size of the coupon payment relative to the face value likelihood the lender will be repaid by the borrower, return a holder is likely to receive. size of the coupon rate relative to other interest rates QUESTION 8 Which of the following would be most likely to earn an AAA rating from Standard & Poor's? A 10-year bond issued by the Japanese government. A bond issue by a new Information technology company. A 10-year bond issued by the New York state. Shares of stock in google. QUESTION 9 Your read in the financial news pages of the morning paper that ratings agencies have downgraded the bonds issued by the state you live in. How will this affect the market for these bonds? Yields on these bonds will decrease and the yield on Treasury bonds will increase. The yield on these bonds will not change, nor will the yield on Treasury bonds The yield on these bonds and on Treasury bonds will both decrease. Yields on these bonds will increase

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