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.
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.
2.
How often do Treasury bonds pay interest?
Choose wisely. There is only one correct answer.
Monthly
Quarterly
Semi-annually
Yearly
Semi-annually. They pay interest twice per year.
3.
Treasury note maturities can last as long as ________ years.
Choose wisely. There is only one correct answer.
Five
Ten
Thirty
Forty
Ten. Ten years is the maximum maturity.
4.
Government bonds can mature in as many as _______ years.
Choose wisely. There is only one correct answer.
Two
Ten
Fifty
Seventy-five
Fifty. Government bonds can actually last fifty years.
5.
On _______bonds, the owner can defer taxes on interest until the bond is redeemed.
Choose wisely. There is only one correct answer.
Series EE
Series HH
Treasury
Series EE. The owner can pay taxes annually or defer taxes on interest until the bond is redeemed.
6.
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.
Submit
DONE