Question: Suppose that when TMCC offered the security in 2 0 0 8 , the U . S . Treasury had offered an essentially identical security.

Suppose that when TMCC offered the security in 2008, the U.S. Treasury had offered an essentially identical security. That is, the U.S. Treasury promised to repay $100,000 per unit in 30 years from the offering date (no interim payment).Note that the U.S. Treasury securities (T-bill and treasury bonds) are considered riskless, guaranteed by the government, whereas TMCC securities are not.
Which of the following statements is correct? Choose only one.

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