What are bond ratings and how do they affect ability of firm

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Question: 1. Describe the differences between the yield to maturity (YTM) and the yield to call (YTC) on a bond. Why would the return to the investor be different if a bond is called? Why?

2. What are bond ratings and how do they affect the ability of the firm to raise funds? Are these ratings similar to the ratings for a country or a company?

3. What are the differences between common stock and preferred stock? Explain your answers.

Reference no: EM131967138

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