Question

U.S. Government Instruments that are Quoted in 32nds are primarily used for:

a) Stock trading
b) Mortgage calculations
c) Treasury securities
d) Corporate bonds

Answer 1

Treasury securities, namely Treasury notes, bonds, and bills, are U.S. Government Instruments quoted in 32nds, used to finance government debt with various maturity periods.

Step-by-step explanation:

U.S. Government Instruments that are quoted in 32nds pertain primarily to Treasury securities, specifically Treasury notes, bonds, and bills. These are financial instruments issued by the U.S. Department of the Treasury to finance government debt.

Treasury notes are medium-term securities with maturities ranging from 2 to 10 years, while Treasury bonds are long-term with maturities from 10 up to 30 years. Treasury bills, on the other hand, are short-term securities with maturities of 13, 26, or 52 weeks.

These are considered highly secure investments guaranteed by the faith and credit of the U.S. government, and they raise capital by borrowing from the public.