Which of the Following Is Not a True Statement Regarding

question 81

Multiple Choice

Which of the following is not a true statement regarding municipal bonds?

• A) A municipal bond is a debt obligation issued by state or local governments.
• B) A municipal bond is a debt obligation issued by the Federal Government.
• C) The interest income from a municipal bond is exempt from federal income taxation.
• D) The interest income from a municipal bond is exempt from state and local taxation in the issuing state.

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Definitions:

Public Nature

Characteristics or attributes that are not private, belonging to or affecting the community or society at large.

Rates of Imprisonment

The proportion or number of individuals within a population who are confined in prison.

European Nations

Countries located in the continent of Europe, each with its distinct government, culture, and history.

U.S.

Short for the United States, a country in North America known for its significant global influence in economic, political, and cultural fields.