When a firm gets riskier what will happen to its bonds Multiple Choice the stated interest rate of the bonds will not change the stated interest rate of the bonds will go up there is no definite answer the stated interest rate of the bonds will go dow

When a firm gets riskier what will happen to its bonds Multiple Choice the stated interest rate of the bonds will not change the stated interest rate of the bonds will go up there is no definite answer the stated interest rate of the bonds will go dow

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

When a firm gets riskier what will happen to its bonds

Multiple Choice

the stated interest rate of the bonds will not change
the stated interest rate of the bonds will go up
there is no definite answer
the stated interest rate of the bonds will go down

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