T-Bills Are Financial Instruments Initially Sold by ________ to Raise

question 84

Multiple Choice

T-bills are financial instruments initially sold by ________ to raise funds.

• A) commercial banks
• B) the U.S. government
• C) state and local governments
• D) agencies of the federal government
• E) the U.S. government and agencies of the federal government

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Definitions:

Treasury Shares

Shares that were issued and later repurchased by the issuing company, reducing the amount of outstanding stock.

Shareholders' Equity

The residual interest in the assets of a company after deducting liabilities, representing the ownership equity spread among shareholders.

Cash Dividends

A distribution of a portion of a company's earnings, decided by the board of directors, to its shareholders in the form of cash.

IFRS

International Financial Reporting Standards, a set of accounting standards developed by the International Accounting Standards Board (IASB) that is becoming the global standard for the preparation of public company financial statements.