You investigate the influence of a corporations credit risk on its cost of borrowing. To do so, you run a regression where the dependent variable (Y) is corporate bond yields and the independent variable (X) is a dummy variable indicating whether bonds are rated below investment grade. The regression results show that the intercept is 0.03 and the coefficient estimate on the independent variable (X) is 0.04, and they are statistically significant. These results suggest that, on average,:

	A.	Non-investment grade bonds have 4-percentage-point higher yields than investment grade bonds.
	B.	Non-investment grade bonds have 3-percentage-point higher yields than investment grade bonds.
	C.	Investment and non-investment grade bonds have similar yields.
	D.	Non-investment grade bonds have 7-percentage-point higher yields than investment grade bonds.