Which one of the following features applies to a U.S. Treasury bill?
A)U.S. agency debt
B)pure discount security
C)taxable at the state level
D)semi-annual interest payments
E)annual interest payments

Question

Quizplus · Accepted Answer

A U.S. Treasury bill is a pure discount security, meaning that it is sold at a discount to its face value and does not have any interest payments. The other options do not apply to Treasury bills - U.S. agency debt refers to debt issued by government-sponsored entities, Treasury bills are not taxed at the state level because they are issued by the federal government, and they do not make semi-annual or annual interest payments.

Which One of the Following Features Applies to a U