We would expect the interest rate on Bond A to be higher than the interest rate on Bond B if the two bonds have identical characteristics except that
A.
Bond A was issued by a start-up company and Bond B was issued by a bank.
B.
Bond A was issued by the Exxon Mobil Corporation and Bond B was issued by the state of New York
C.
Bond A has a term of 20 years and Bond B has a term of 1 year
D.
All of the above are correct