Question: 16. Assume that you are comparing bonds from two different issuers; bonds from issuer ABC have a credit rating of A- while bonds from

16. Assume that you are comparing bonds from two different issuers; bonds

16. Assume that you are comparing bonds from two different issuers; bonds from issuer ABC have a credit rating of A- while bonds from issuer XYZ have a credit rating of BB+. Now think of the financial statements (that is, balance sheets and income statements) for these two issuing companies. List three significant differences that you might find on these financial statements that could have contributed to issuer ABC's credit rating. (6 points) Debt to equity,

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