Which circumstance will decrease the protection payment for credit default swaps?

Question

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Credit default swaps provide protection against default risk, and the payment for such protection is based on the perceived likelihood of the underlying company defaulting. Therefore, if the expected risk of default decreases, the payment for credit default swaps will also decrease. Option A, on the other hand, would increase the protection payment because a lower expected recovery value means a higher default risk. Option C is unrelated to default risk and would not affect protection payment. Option D could increase the protection payment if it indicates a higher perceived risk of default.

Which Circumstance Will Decrease the Protection Payment for Credit Default