The Prosperity Bank purchased a bond with the following characteristics: Coupon Rate: 13.5%, 15-Years to Maturity Current Market Interest Rate: 9% The bond-issuer has strong solvency. Prosperity Bank expects that the interest rates will go down substantially in the following years. If you consider only the information provided in this question .... What kind of risk is Prosperity Bank facing? Credit risk Interest-rate risk O Call risk Business risk None of the options is correct.

The Prosperity Bank purchased a bond with the following characteristics: Coupon Rate: 13.5%,15-Years to Maturity Current Market Interest Rate: 9% The bond-issuer has strong solvency. Prosperity Bank expects that the interest rates will go down substantially in the following years. If you consider only the information provided in this question .... What kind of risk is Prosperity Bank facing? Credit risk Interest-rate risk Call risk Business risk None of the options is correct