Municipal bonds: (1) are zero coupon bonds. (2) must be purchased by individual investors. (3) are risk-free. (4) generally have the term to maturity less than one year. (5) are issued by federal, state, or local government bodies.

I know it is not option 1 or option 2.

Municipal bonds: 1) are zero coupon bonds. 2) must be purchased by individual investors. 3) are risk-free. 4) generally have the term to maturity less than one year 5) are issued by federal, state, or local governmental bodies