Which of the Following Is Considered a Default-Risk-Free Instrument

question 58

Multiple Choice

Which of the following is considered a default-risk-free instrument?

• A)A three-month Treasury bill
• B)A share of stock issued by Google
• C)A three-month commercial paper issued by GE
• D)A ten-year bond issued by Intel

---

Definitions:

Roman Empire

An ancient civilization centered around the Mediterranean, leading in law, politics, engineering, and warfare until its decline.

Stare Decisis

A legal principle that dictates that courts are bound by their own earlier decisions and the decisions of higher courts when the same points arise again in litigation.

Unconstitutional

Actions or laws that violate the principles or specific provisions of the Constitution.

Eighth Amendment

A provision of the U.S. Constitution that prohibits the federal government from imposing excessive bail, excessive fines, or cruel and unusual punishments.