A company that continues to have strong profit performance during an economic downturn when many other companies are suffering losses or failing should see: an increase in the yield of their bonds and the price of the bond increases. the demand for their bonds decrease and their yields decrease. their bond rating maintained or actually increase. the demand and price for their bonds decrease.

Question

Octavio Suarez

Business

29 June, 09:21

A company that continues to have strong profit performance during an economic downturn when many other companies are suffering losses or failing should see: an increase in the yield of their bonds and the price of the bond increases. the demand for their bonds decrease and their yields decrease. their bond rating maintained or actually increase. the demand and price for their bonds decrease.

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Brice Dawson · Answer 1

A company that continues to have strong profit performance during an economic downturn when many other companies are suffering losses or failing should see their bond rating maintained or actually increase.

A bond rating lets one know of the credit quality and the means to pay back the bond with in a reasonable amount of time. Bonds are rated using letters and receive a grade based on their profit performance.