This week’s study question from the Solomon Online Exam Simulator question database is now available.
Which of the following Treasury securities does not pay interest semi-annually?
Correct Answer: A
Rationale: Treasury bills, or T-bills are issued at a discount from the par value (face value) and the interest payment is paid one time, on maturity, and it is the difference between the par value and the purchase price. T-notes, T-bonds and TIPS pay interest semi-annually (twice a year).
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