Question: Suppose a company simultaneously sold two long-term debt issues at par: 9 1/8 percent senior debentures and 9 3/8 percent subordinated debentures. What risk-return trade-off

Suppose a company simultaneously sold two long-term debt issues at par: 9 1/8 percent senior debentures and 9 3/8 percent subordinated debentures. What risk-return trade-off would be faced by an investor who was considering one of these issues

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