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kolitchko kolitchko
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6 years ago
When a company whose ability to repay its obligations in full is uncertain
A) it will have to issue debt with longer maturities than would a company with a lower probability of default.
B) its bonds will sell for higher prices than would the bonds of a company with a lower probability of default.
C) it must offer investors higher yields to compensate them for the risk they take in buying their bonds or making loans.
D) it must do so through financial markets rather than through financial intermediaries.
Textbook 
Money, Banking, and the Financial System

Money, Banking, and the Financial System


Edition: 3rd
Authors:
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vehmeinvehmein
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6 years ago
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kolitchko Author
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6 years ago
Thanks for your help!!
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Yesterday
Just got PERFECT on my quiz
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2 hours ago
Good timing, thanks!
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