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Which of the following statements is CORRECT? O Keep other things equal, a bond with a longer time-to-maturity should have a lower yield than a

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Which of the following statements is CORRECT? O Keep other things equal, a bond with a longer time-to-maturity should have a lower yield than a bond with a shorter time-to-maturity because a long-term bond has more risk. a The term structure of interest rates is the relationship between interest rates on fixed-income securities similar in terms except for maturity. O All of the above The term structure of interest rates is the relationship between interest rates or rate of returns on bonds similar in terms except for credit rating (default risk)

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