What is the primary relevance of the U.S. Treasury bond market to corporate financial managers? Interest rates on Treasury bonds generally are higher than those on corporate bonds. Thus a corporate financial manager can gauge the maximum interest rate that the company must pay with it issues bonds. The interest rates on Treasury bonds serve as benchmarks for all other rates and thus help when estimating the required rate of return on a corporate bond. By investing in Treasury bonds, a company can reduce the risk of default on its own bonds