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1.
What is used for collateral for collateralized mortgage obligations?
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Pools of mortgages. These pools back CMOs in the event of default.
2.
Government bonds can mature in as many as _______ years.
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Fifty. Government bonds can actually last fifty years.
3.
Treasury notes are sold through auctions.
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True. They are sold this way, using bids.
4.
Which of the following agencies does not issue mortgage-backed securities?
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The US Post Office. The others were created for mortgage purposes.
5.
How often do Treasury bonds pay interest?
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Semi-annually. They pay interest twice per year.
6.
________ are redeemed by the US government rather than sold on exchanges.
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Non-marketable US bonds. They are called "non-marketable" because they cannot be sold on markets, and exchanges are markets.