U.S. Treasury Bonds

question 8

Multiple Choice

U.S. Treasury bonds

• A)carry no risk of default and are therefore not risky investments.
• B)have constant yields to maturity and are therefore not risky investments.
• C)have constant coupon rates and are therefore not risky investments.
• D)are subject to fluctuations in their market prices and are therefore risky investments.

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Definitions:

Organizing Data

The process of arranging and categorizing information to make it more understandable and usable.

Elimination of Alternatives

The process of systematically removing options to narrow down choices to the best possible solution.

Problem-Solution

A method or strategy that involves identifying a problem and finding one or more solutions to address it.

Suggesting Alternatives

The process of proposing different options or strategies to address a problem or enhance a plan.