Home
>
Income
>
Beginner
Income Beginner:
Introduction to Government Bonds
Test your knowledge
Choose wisely. There is only one correct answer to each question.
0%
Keep studying!
Review your answers below to learn more.
1.
Treasury bond maturities can last as long as ________ years.
Choose wisely. There is only one correct answer.
Ten
Twenty
Thirty
Fifty
Thirty. Thirty years is the maximum maturity.
2.
Investors in collateralized mortgage obligations choose interest and principal slices based on their desired ________.
Choose wisely. There is only one correct answer.
Yields
Income
Maturities
Maturities. They invest according to the bonds' maturities.
3.
What is the range of maturities of agency bonds?
Choose wisely. There is only one correct answer.
One month to one year
Ten to thirty years
One to fifty years
Ten to seventy-five years
One to fifty years. Agency bonds have a very wide range.
4.
Treasury notes are sold through auctions.
Choose wisely. There is only one correct answer.
True
False
True. They are sold this way, using bids.
5.
________ are redeemed by the US government rather than sold on exchanges.
Choose wisely. There is only one correct answer.
Marketable US bonds
Non-marketable US bonds
Mortgage-backed US bonds
Non-marketable US bonds. They are called "non-marketable" because they cannot be sold on markets, and exchanges are markets.
6.
Why does the US government sell bonds?
Choose wisely. There is only one correct answer.
To fund its programs and meet its expenses
To profit from the market
To regulate the bond market
To keep abreast of the private sector
To fund its programs and meet its expenses. The US government often finds it useful to seek funds from the public.
Submit
DONE