Which Statement About Treasury Bills Is NOT True

question 75

Multiple Choice

Which statement about Treasury bills is NOT true?

• A) They have maturities less than one year.
• B) Most are sold by "book-entry" method.
• C) They are sold at a discount.
• D) Interest on T-bills is tax-deductible for federal income tax purposes.

---

Definitions:

Rejection Region

In hypothesis testing, it is the range of values for which the null hypothesis is rejected in favor of the alternative hypothesis.

Additives

Substances added to products to improve or preserve them.

Significance Level

The probability of rejecting the null hypothesis in a statistical test when it is true, commonly denoted by alpha.

Confidence Interval

A range of values, derived from sample statistics, that is likely to contain the value of an unknown population parameter with a certain degree of confidence.