Corporation 1 will issue new 20-year bonds with a $1,000 par value that will be rated Baa by Moody's.
Corporation 2 will issue new 20-year bonds with a $1,000 par value that will be rated Aa by Moody's.
TRUE or FALSE: The bonds issued by Corporation 1 should have a LOWER coupon rate than the Corporation 2 bonds.
a) true
b) false