Solved

There Is Customarily a Small Spread Between Bid and Asked

Question 57

Multiple Choice

There is customarily a small spread between bid and asked prices of Treasury notes and bonds, because:


A) they are traded at a discount from par.
B) there is competition from other markets.
C) the market for Treasury issues is liquid.
D) there are not many government securities dealers.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q52: While the stock market has an active

Q53: For the major bond-rating agencies, the lowest

Q54: The primary difference between large (jumbo) and

Q55: Corporate issues make up the largest percentage

Q56: Interest on federally-sponsored credit agency issues (such

Q58: Corporate bonds generally trade in units of:<br>A)$100.<br>B)$1,000.<br>C)$5,000.<br>D)$10,000.

Q59: A bond with a put provision allows

Q60: Which of the following types of bond

Q61: The largest segment of the corporate bond

Q62: Preferred stock dividends are tax-deductible to the