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Income Beginner: Introduction to Government Bonds

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1.
________ 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.
2.
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.
3.
Many investors consider government bonds the safest of all bonds because _______.
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They are backed by the credit of the US government. The US government is considered to have the best ability to repay bonds and bond interest.
4.
How do Treasury notes differ from Treasury bonds?
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Their maturities. Their maturities last from one to ten years, while those of Treasury bonds last longer than ten years.
5.
Treasury bonds are sometimes sold through auctions.
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True. When this happens, their interest rates may change from the original amounts.
6.
Investors in collateralized mortgage obligations choose interest and principal slices based on their desired ________.
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Maturities. They invest according to the bonds' maturities.