What Is the Interest on a Treasury Bill Called When

question 89

Multiple Choice

What is the interest on a Treasury bill called when it is determined by the size of the bill's discount from face value?

• A)assumed interest
• B)imputed interest
• C)imaginary interest
• D)convergent interest
• E)original-issue interest

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Definitions:

Suppression Device

"A unit that attenuates the magnitude of electrical noise."

Load Device

An electrical component or system that consumes power from a source.

Board of Governors

The leading body of the Federal Reserve System, overseeing the Federal Reserve Banks and helping implement monetary policy.

U.S. Senate

One of the two chambers of the United States Congress, responsible for making and passing federal laws, where each state is represented by two senators.