Which of the following statements is true? Because investors are risk averse, they require a...

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Accounting

Which of the following statements is true?
Because investors are risk averse, they require a premium to purchase a security that exposes them to default risk.
All else equal, the higher a bond's rating, the higher the coupon rate.
Investment grade bonds are those rated single B and higher.
Federal laws typically allow insurance companies and pension funds to purchase non-investment grade bonds.
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