Which of the following statements is/are most INCORRECT? Junk bonds typically offer high risk and high yields relative to AAA investment grade bonds. As for the callable bond, the firm normally calls the bond for early redemption when interest rates rise because the firm can save on interest expenses. All else equal, a bond is sold at a premium when its YTM is lower than the coupon rate. All else equal, bond prices move inversely with the changes in yield to maturity. a. b. c. d. Other things equal, a firm will have to pay a higher coupon rate on its subordinated debentures than on its bonds with a sinking fund. a. True b. False