Question
a. Municipal and corporate bonds are priced on a 365 day year.________ b. Treasury bonds are priced on a 360 day year.________ c. When a
a. Municipal and corporate bonds are priced on a 365 day year.________ b. Treasury bonds are priced on a 360 day year.________ c. When a bond is traded, the buyer owes the seller accrued interest.______ d. Higher inflation rates lead to lower interest rates. _______ e. If Velocity increases, then prices and/or quantities increase._______ f. Quantitative easing adds liquidity when the federal funds rate is near zero._____ g. Bonds may trade in advance of Treasury auction._______ h. Off the run bonds are the most recently auctioned off for a given initial maturity.___ i. The yield curve nearly always uses the on-the-run Treasuries._____ j. If the yield curve in inverted, investors expect higher inflation or real rates._____
True or False
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