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You are a financial advisor at the bond dealer Mingming, Qiu and FI320 (ya, you read that right). Your client has informed you that
You are a financial advisor at the bond dealer Mingming, Qiu and FI320 (ya, you read that right). Your client has informed you that she is on the Board of Directors of a company that needs to buy some bonds, but is only allowed to purchase investment grade bonds. You recommend the D-rated bonds of Dry Wells Oil Exploration, Inc., because, although the par value of the bonds is $1000, the current market price is only $200. Which of the following statements is False? O O The yield to maturity of these bonds is higher than the coupon rate You made a very good recommendation Your client will not be able to purchase these bonds Investors clearly believe this company is in danger of bankruptcy
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ANSWER B You made a very good recommendation A good recommendation letter includes three main points ...Get Instant Access to Expert-Tailored Solutions
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