Thomas Is a Bondholder in the Municipal Corporation of Oklahoma

Multiple Choice

Thomas is a bondholder in the municipal corporation of Oklahoma. Not being much of a risk-taker, Thomas prefers these kinds of bonds as they are usually viewed as safe investments and interest income earned on these bonds is exempt from federal income taxes. Given this information, one can conclude that Thomas holds _____.

A) corporate stocks
B) government securities
C) capital assets
D) deferred shares