Marketing MCQ Marketing Chapter 5 Holding everything else constant, if a corporation begins to suffer large losses, then the default risk on its bonds will ________ and the expected return on those bonds will ________.

Holding everything else constant, if a corporation begins to suffer large losses, then the default risk on its bonds will and the expected return on those bonds will .

Marketing Chapter 5

Holding everything else constant, if a corporation begins to suffer large losses, then the default risk on its bonds will and the expected return on those bonds will .

A) increase: increase
B) decrease; increase
C) increase; decrease
D) decrease; decrease

Answer: C) increase; decrease

Marketing MCQ

Holding everything else constant, if a corporation begins to suffer large losses, then the default risk on its bonds will ________ and the expected return on those bonds will ________.

Holding everything else constant, if a corporation begins to suffer large losses, then the default risk on its bonds will ________ and the expected return on those bonds will ________.

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Holding everything else constant, if a corporation begins to suffer large losses, then the default risk on its bonds will and the expected return on those bonds will .

Holding everything else constant, if a corporation begins to suffer large losses, then the default risk on its bonds will and the expected return on those bonds will .