Question: QUESTION 6 Junk bonds have higher default risk. True False QUESTION 7 Everything else the same, bonds with higher default risk will have yields to

QUESTION 6 Junk bonds have higher default risk. True False QUESTION 7 Everything else the same, bonds with higher default risk will have yields to maturity. lower higher QUESTION 8 For a bond, default risk means: The risk of having to sell the bond at a significant discount of par value The chance that the issuer will not make timely payments of coupons or the par value when due The risk that the bond will lose value when interest rates rise The chance that the bond investor cannot sell the bond at a favorable price

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