Bond Ratings
Fully explain the term Bond Ratings?
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Bond Ratings:
• Individuals and small business encompass to rely on exterior agencies to give them information on default potential of bonds.
• The two most famous credit rating agencies are Moody’s Investors Service (Moody’s) and standard and poor’s (S&P). Both credit rating services rank bonds in precedence of their predicted probability of default and publish the ratings as letter grades.
• The maximum-grade bonds, those with the minimum default risk, are rated Aaa (or AAA).
• Bonds in the top four rating groups are termed as investment-grade bonds—AAA to Baa.
• State and federal laws usually need commercial banks, pension funds, insurance companies, other financial institutions, and govt. agencies to buy securities rated merely as investment grade.
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In this illustrated figure in below the only purely competitive firm currently generating economic profit is in: (w) Firm A. (x) Firm B. (y) Firm C. (z) Firm D. Discover Q & A Leading Solution Library Avail More Than 1424304 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads No hassle, Instant Access Start Discovering 18,76,764 1945617 Asked 3,689 Active Tutors 1424304 Questions Answered Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!! Submit Assignment
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