Which of the Following Will Increase the Price of a Money

question 57

Multiple Choice

Which of the following will increase the price of a money market instrument computed using a discount yield?
I. bank discount rate
II. bond equivalent rate
III. annual percentage rate
IV. effective annual rate

• A)I and II only
• B)I and III only
• C)I and IV only
• D)II and III only
• E)II and IV only

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Definitions:

Marginal Tax Rate

The rate at which the last dollar of a taxpayer's income is taxed, indicating the rate of tax applied to your highest level of income.

Federal Tax Legislation

Laws passed by the United States Congress that relate to taxes imposed by the federal government.

Senate Finance Committee

A powerful committee in the United States Senate that deals with matters related to taxation, revenue, and other financial policies.

Form 1040EZ

Form 1040EZ was a simplified tax form for individuals with uncomplicated tax situations, but it is no longer in use as of 2018.