Which of the Following Statements Is True

question 51

Multiple Choice

Which of the following statements is true?

• A) State and local governments cannot default on their bonds.
• B) Bonds issued by state and local governments are called municipal bonds.
• C) All government issued bonds - local, state, and federal - are federal income tax exempt.
• D) The coupon payment on municipal bonds is usually higher than the coupon payment on Treasury bonds.

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Definitions:

Adjustment Refusal

A response or decision not to modify or change a position, policy, or approach despite requests or suggestions to do so.

General Plan

A comprehensive layout or blueprint guiding the overall objectives and strategies of an endeavor.

Counterproposal

A proposal offered in response to one previously made, usually differing in details or terms.

Adjustment Refusal Message

A communication informing a recipient that a request for a change or correction has been denied.