issued by nonfederal government entities, these financial instruments are debt securities that fund their capital expenditures. they are exempt from most taxes imposed in the area where the securities are issued. issued by major banks, these short-term instruments pay higher interest than treasury securities, but still have low returns. risk depends on the financial strength of the bank. these financial instruments are u.s. dollar deposits outside the united states that earn interest over a certain time period. risk associated with these deposits depends on the risk of the issuing bank. issued by corporations, these instruments can have maturities from 1-40 years. the risk depends on the financial strength of the issuing corporation.

Respuesta :

Debt instruments include things like bonds, credit cards, credit lines, loans, and loans. Usually, when we use the word "debt instrument," we mean debt capital that has been raised by institutional institutions. Governments and both private and public corporations can be considered institutional institutions.

A financial investment whose price is based only on its market value is referred to as a primary instrument. Cash-traded goods including equities, bonds, currencies, and spot commodities are examples of primary instruments.

Complete Resolution Assets that need a fixed payment with interest to the holder are referred to as debt instruments. Bonds and mortgages are two examples (corporate or government). Stocks are not considered a type of debt instrument.

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