Which of the Following Statements Are Correct Concerning Municipal Bonds

question 11

Multiple Choice

Which of the following statements are correct concerning municipal bonds?
I. Yields on municipal bonds are usually lower than yields on Treasury bonds.
II. Municipal bonds are most appealing to individuals with high incomes.
III. Interest on a municipal bond is exempt from federal income tax.
IV. Municipal bonds are less risky than Treasury bonds.

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

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Definitions:

Sadness

An emotion characterized by feelings of unhappiness and low spirits, often as a response to loss or disappointment.

Persistent Depressive Disorder

A long-term form of depression characterized by a persistent low mood and other depressive symptoms.

Major Depressive Disorder

A mental condition characterized by persistent feelings of sadness, hopelessness, and a lack of interest or pleasure in activities.

Seasonal Affective Disorder

A type of depression that's related to changes in seasons, typically starting in the late fall and early winter and going away during the spring and summer.