Question: Why, empirically, does a AAA-rated bond carry a lower yield compared to a B-rated bond? Multiple Choice A AAA-rated bond carries less risk. At equal

Why, empirically, does a AAA-rated bond carry a lower yield compared

Why, empirically, does a AAA-rated bond carry a lower yield compared to a B-rated bond? Multiple Choice A AAA-rated bond carries less risk. At equal yields, a AAA-rated bond is less attractive to investors At equal yields, a B-rated bond is more attractive to investors

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