1. Base your answer on yearly data from the following series that is available from Board of Governors of the Federal Reserve Website via the DDP Program.
10-year Treasury constant maturity (H15/H15/RIFLGFCY10_N.M)
Moody's Aaa (H15/H15/RIMLPAAAR_N.M)
Moody's Baa (H15/H15/RIMLPBAAR_N.M)
In October of 2001 investors demanded a larger yield premium to hold corporate bonds rated Baa by Moody's relative to the ten year treasury than in June of 2006.
TRUE OR FALSE
2. The bond with the CUSIP 345370BM1 is below investment grade by Standard & Poor's.
TRUE OR FALSE