Which of the following would be most likely to increase the coupon rate that is required to enable a bond to be issued at par? a) Adding a call provision. Adding additional restrictive covenants that limit management's b) actions. c) Adding a sinking fund. d) The rating agencies change the bond's rating from Baa to Aaa. e) Making the bond a first mortgage bond rather than a debenture. Which of the following statements is CORRECT? Junk bonds typically provide a lower yield to maturity than a) investment grade bonds. A debenture is a secured bond that is backed by some or all of the b) firm's fixed assets. c) Subordinated debt has less default risk than senior debt. Junior debt is debt that has been more recently issued, and in d) bankruptcy it is paid off after senior debt because the senior debt was issued first. Convertible bonds have lower coupon rates than non-convertible e) bonds of similar default risk because they offer the possibility of capital gains