Corporate Bond

Within the Discussion Board area, write 500–700 words that respond to the following questions with your thoughts, ideas, and comments. This will be the foundation for future discussions by your classmates. Be substantive and clear, and use examples to reinforce your ideas:
Generating the appropriate interest rate for annuities, perpetuities and bonds can be quite challenging.

Using the following website:http://www.bondsonline.com/Todays_Market/Corporate_Bond_Spreads.php put together a table of interest rates for a company with a AAA rating, BB rating and a junk rating.
Discuss which interest rates should be used for an asset which is 1 year in length, 5 years in length, 15 years in length and 30 years in length.
Discuss how the interest rate will be impacted if the bond is a government bond or a corporate bond.

What typically happens to the interest rate as the amount of time increases, i.e. the maturity increases?
Explain your answer.

Why are the interest rates different for different credit ratings?
Explain your answer.