Other things the same,which bond would you expect to pay the highest interest rate?
A)a bond issued by the U.S.government
B)a bond issued by Microsoft Corporation
C)a bond issued by the state of Montana
D)a bond issued by a new chain of Brazilian-style restaurants

Question

Quizplus · Accepted Answer

Typically, bonds issued by companies carry higher interest rates as they are riskier than bonds issued by governments. A bond issued by a new chain of Brazilian-style restaurants would have the highest risk and hence, the highest interest rate.

Other Things the Same,which Bond Would You Expect to Pay