Assume that in January 2017, Vivendi announced a €1.2 billion bond issuance. The bonds have a coupon rate of 6.75% payable semiannually. Assume the bonds have been assigned credit ratings of BBB (stable outlook) by Standard and Poor's, Baa2 (stable outlook) by Moody's, and BBB (stable outlook) by Fitch.
Which of the following is not true?
A) The yield on these bonds would have been lower if Standard and Poor's, Moody's, and Fitch had assigned higher credit ratings.
B) The periodic interest payment will be €40.50 million.
C) The coupon rate on these bonds would have been higher if Standard and Poor's, Moody's, and Fitch had assigned lower credit ratings.
D) The periodic interest expense will depend on the bond's yield.
E) None of the above

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The Answer of Assume that in January 2017, Vivendi announced a €1.2 billion bond issuance. The bonds have a coupon rate of 6.75% payable semiannually. Assume the bonds have been assigned credit ratings of BBB (stable outlook) by Standard and Poor's, Baa2 (stable outlook) by Moody's, and BBB (stable outlook) by Fitch.
Which of the following is not true?
A) The yield on these bonds would have been lower if Standard and Poor's, Moody's, and Fitch had assigned higher credit ratings.
B) The periodic interest payment will be €40.50 million.
C) The coupon rate on these bonds would have been higher if Standard and Poor's, Moody's, and Fitch had assigned lower credit ratings.
D) The periodic interest expense will depend on the bond's yield.
E) None of the above

Assume That in January 2017, Vivendi Announced a €1