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    Exam 10: Bonds and Stocks: Characteristics and Valuations
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    Bonds with Junior or Unsecured Claims Receive Lower Bond Ratings
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Bonds with Junior or Unsecured Claims Receive Lower Bond Ratings

Question 174

Question 174

True/False

Bonds with junior or unsecured claims receive lower bond ratings, leading investors to demand higher yields to compensate for the higher risk.

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