Money Bank

Money market instruments Answers: A. are usually sold in large denominations B. mature in one year or less C. have low default risk D. are characterized by all of the above

D.

Which of the following statements about the money markets are true? A. Unlike most participants in the money market, the U.S. Treasury Department is always a demander of money market funds and never a supplier. B. Most money market securities do not pay interest. Instead, the investor pays less for the security than it will be worth when it matures. C. Pension funds invest a portion of their assets in the money market to have sufficient liquidity to meet their obligations. D. The most influential participant(s) in the U.S. money market is the Federal Reserve. E. All of the above are true.

E. All of the above are true