Which of the following is a single statistic that summarizes a rating agency's view of the issuer's likely ability to make the required payments on its bonds?
A) grade
B) bond rating
C) speculation
D) yield

Question

Quizplus · Accepted Answer

Bond rating is a single statistic that summarizes a rating agency's view of the issuer's likely ability to make the required payments on its bonds. Grades may vary among rating agencies, but the bond rating is a specific rating assigned by a rating agency to a particular bond issue. Speculation and yield are not measures of an issuer's ability to make payments on its bonds.

Which of the Following Is a Single Statistic That Summarizes