medium · Corporate Credit Analysis ratings

Blue Horizon Corp has an Issuer Credit Rating (ICR) of BB+. The company issues a new Senior Secured bond backed by all its manufacturing assets, which the rating agency expects to have 100% recovery.

Based on standard notching rules, what is the likely rating of this specific bond?

  1. BB-
  2. B+
  3. BB+
  4. BBB

Sign up free to see the explanation and track your rank →

More Corporate Credit Analysis ratings practice

KomFi: Test Prep Made Easy

KomFi: Test Prep Made Easy — free adaptive practice for GMAT, GRE, SAT, ACT, National Real Estate Exam, Investment Banking, and finance with full explanations.

KomFi Academy is free GMAT prep and personalized GMAT help built as a training platform: 92,240+ practice questions, 30,500+ flashcards, on-demand video lectures, podcasts, and 4K slide decks. Flagship tracks: Free GMAT Prep, Free GMAT Resources, National Real Estate Exam Prep, Investment Banking Prep, Finance Prep, GRE, SAT, ACT, LSAT, MCAT, Financial Accounting, Private Equity, Private Credit, and Quantitative Finance.

Free GMAT Prep & Personalized GMAT Help

What's inside

Topics

View pricing · Read testimonials