Income Beginner: Introduction to Municipal Bonds

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1.
Of the following tax brackets, which one will leave you with the highest yield on a municipal bond compared to a taxable bond?
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35 percent. The higher the tax bracket, the more you earn when the bond is compared to a taxable bond.
2.
The two types of municipal bonds are revenue and agency bonds.
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False. The two types are revenue and general obligation bonds.
3.
Municipal bonds are sold by all but which of the following?
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The federal government. This entity sells only US government bonds.
4.
In addition to receiving income from municipal projects, some revenue bonds may be secured by _______.
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Private endowments. Individual or corporate investors may donate funds to help pay off a revenue bond issue.
5.
Anyone with a municipal bond can get insurance for it.
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False. An individual needs to have $50,000 or more in muni bonds to get insurance.