Question: 1. A Call Provision in a bond contract is a provision that gives the issuer right to redeem the bonds under specified terms prior to

1. A Call Provision in a bond contract is a provision that gives the issuer right to redeem the bonds under specified terms prior to the normal maturity date.

True

False 2. A corporate bond that has a rating of AAA will have a higher coupon than a corporate bond, issued the same day and with the same maturity, that has a rating of BBB

True

False

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