Default risk premiums vary _______ with the ________ of the security.
A) directly; default risk
B) inversely; default risk
C) inversely; maturity
D) directly; marketability

Name: Default risk premiums vary _______ with the ________ of the security. A) directly; default risk B) inversely; default risk C) inversely; maturity D) directly; marketability
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Question

Quizplus · Accepted Answer

Default risk premiums increase with the increase in default risk, meaning they vary directly with the default risk of the security.

Default Risk Premiums Vary _______ with the ________ of the Security

Default Risk Premiums Vary _ with the __ of the Security