the risk related to the possibility of bankruptcy of the bond's issuer.
B.
the risk that arises from the uncertainty of the bond's return caused by changes in interest rates.
C.
the unsystematic risk caused by factors unique in the bond.
D.
the risk related to the possibility of bankruptcy of the bond's issuer and the risk that arises from the uncertainty of the bond's return caused by changes in interest rates.
【单选题】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.
the credit risk associated with Bond A is lower than the credit risk associated with Bond B
B.
Bond A was issued by the city of Philadelphia and Bond B was issued by Red Hat Corporation.
C.
Bond A has a term of 20 years and Bond B has a term of 2 years.
【单选题】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 financially weak corporation and Bond B was issued by a financially strong corporation.
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.