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Management · Q263

International Finance and Treasury

Graduate and Post Graduate · Management · question 263

Q263

Financial securities which are issued to finance government expenditures and national debt are classified as

A.
treasury notes and bonds
Answer
B.
contraction bonds
C.
expansion bonds
D.
dollar bonds

Answer: Option A

Solution

Answer: Option A
Solution:
Financial securities which are issued to finance government expenditures and national debt are classified as treasury notes and bonds. Treasury bills, notes, and bonds are fixed-income securities issued by the U.S. government. They are sold at auction and on the secondary market.