Government Securities with Terms of More Than One Year Are

question 8

Multiple Choice

Government securities with terms of more than one year are called

• A) Treasury bills.
• B) federal funds bonds.
• C) capital bills.
• D) government bonds.

---

Definitions:

Progressive Rate

A tax system in which the tax rate increases as the taxable income increases.

Average Tax Rate

The proportion of total income that is paid in taxes, calculated by dividing the total amount of taxes paid by the taxpayer’s total income.

Tax Liability

The total amount of tax owed to the government by an individual, corporation, or other entity in a specified tax period.

Form 1040EZ

A simplified tax form for individuals with straightforward financial situations, allowing them to report income and calculate taxes owed.