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US Government Bonds Are Considered a Secure Investment Because

Question 311

Multiple Choice

U.S. government bonds are considered a secure investment because


A) the interest rates are protected from inflation and tied to the consumer price index.
B) they are backed by the full faith and credit of the federal government.
C) the interest rates are higher than for corporate bonds of equal duration.
D) if they are lost or stolen the federal government promises to replace them when the proof of purchase is provided.

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