Gina has the choice of two bonds, one that pays five per cent interest and one that pays 10 per cent interest.Which of the following is most likely?
A) The 10 per cent bond has a shorter term than the five per cent bond
B) The 10 per cent bond is a government bond, and the five per cent bond is a junk bond
C) The 10 per cent bond is more risky than the five per cent bond
D) All of the above are equally likely
Correct Answer:
Verified
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