Which of the following bonds has the lowest chance of default？______.
A corporate bond issued by General Motors
B. A municipal bond issued by the State of Texas
C. A zero-coupon bond issued by IBM
D. A U.S. Treasury bond
Business firms raise money by selling______.
A. currency
B. cash
C. demand deposits
D. both stocks and bonds
Which of the following would you classify as capital market instruments？______.
A. Fixed-rate securities convertible into shares in a bank
Bank loans
C. Bank deposits
D. None of the above
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