单选题 All else being equal, the ceiling on a floating-rate security is most likely to benefit the:

A. issuer if interest rates fall.
B. issuer if interest rates rise.
C. bondholder if interest rates rise.

【正确答案】 B

【答案解析】When the interest rate increases, the periodic payment will be limited to the ceiling rate for the issue, which does great protection for the issuer.