Question: Which statement is TRUE regarding corporate bond default risk? a . Interest rates decrease for a bond when the bond s default risk decreases. b

Which statement is TRUE regarding corporate bond default risk?
a.
Interest rates decrease for a bond when the bonds default risk decreases.
b.
Interest rates decrease for a bond when the bonds default risk increases.
c.
Interest rates remain constant for a bond when the bonds default risk increases.
d.
Interest rates increase for a bond when the bonds default risk decreases.

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