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Questions and Answers
Who traditionally invests in Treasury bills?
Who traditionally invests in Treasury bills?
- Hedge funds
- Small retail investors
- Credit unions
- Insurance companies (correct)
What is the appeal of Treasury bills to investors?
What is the appeal of Treasury bills to investors?
- They offer a return on investment through a discount on the purchase price. (correct)
- They pay high interest rates compared to other retail instruments.
- They are sold at par value.
- They are backed by physical assets.
What distinguishes Treasury bills from other retail instruments?
What distinguishes Treasury bills from other retail instruments?
- They are tax-free investments.
- They are backed by physical assets.
- They pay interest on a regular basis.
- They mature at a discounted price. (correct)
How often are Treasury bills sold at auction?
How often are Treasury bills sold at auction?
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How are Provincial bonds and Government of Canada bonds similar?
How are Provincial bonds and Government of Canada bonds similar?
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Which of the following is NOT a factor that determines the credit quality of a province?
Which of the following is NOT a factor that determines the credit quality of a province?
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Which of the following securities are considered bonds in practice?
Which of the following securities are considered bonds in practice?
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Which of the following factors is NOT mentioned as influencing the bond quality?
Which of the following factors is NOT mentioned as influencing the bond quality?
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Which of the following statements is TRUE about provincial bonds?
Which of the following statements is TRUE about provincial bonds?
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What is the primary factor mentioned in the text that determines the credit quality of a province?
What is the primary factor mentioned in the text that determines the credit quality of a province?
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