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Which of the following statement is correct? In August of 2011 the bond rating agency Standard and Poor's (S&P) increased long- term U.S. Treasury securities

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Which of the following statement is correct? In August of 2011 the bond rating agency Standard and Poor's (S&P) increased long- term U.S. Treasury securities from AA+ to AAA. A convertible bond is a bond that may be converted, at the option of the bond's owner, into a certain amount of another security, such as common stocks, issued by the same company. All the answers are incorrect. Because of the favorable tax treatment corporations receive for the common stock dividend income, they bid up the price on common stock, thus lowering the expected rate of return According to Moody's ratings, an investment grade bond would have a rating of Balor below

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