2. A liquid secondary bond market allows an investor to readily sell a bond at

a. the desired price

b. a price at least equal to the purchase price

c. a price close to the bonds fair market value

3. The type of bond issued by Freddie Mac is best described as a

a. municipal bond b. government bond c. agency bond d. corporate bond

4. Relative to U.S Treasury securities, corporate bonds with similar characteristics most likely trade at a yield that is

a. higher b. lower c. the same

5. Treasury securities with a maturity at issuance shorter than one year are most likely

a. floating-rate notes b. zero-coupon bonds c. coupon bonds