✅ The correct answer is option A.
Financial securities issued by local and state governments are classified as municipal bonds. Municipal bonds are loans investors make to local governments. They are issued by cities, states, counties, or other local governments. For that reason, the interest they pay on the bonds is tax-free.

✅ The correct answer is option C.
If risk of financial security decreases and supply curve shifts to right and downwards then impact on equilibrium of interest rate must decreases. The equilibrium interest rate is the rate at which the quantity of money demanded is equal to the quantity of money supplied. The Federal Reserve can alter the equilibrium interest rate by adjusting the supply of money. The demand for money and supply of money can be graphed to determine the equilibrium interest rate.

✅ The correct answer is option A.
Net exports refers to total exports minus total imports. Net exports are the value of a country’s total exports minus the value of its total imports. It is a measure used to aggregate a country’s expenditures or gross domestic product in an open economy.

✅ The correct answer is option B.
Shift of demand curve to down and to left then there must be decreases in funds traded. A shift in the demand curve is when a determinant of demand other than price changes. It occurs when demand for goods and services changes even though the price didn’t.

✅ The correct answer is option D.
Periodic payments of dividends = Return to stockholder – Capital gain = 18% – 9% = 9.00%.

✅ The correct answer is option B.
Principal amount in Treasury Inflation Protection Securities is considered as inflation adjusted principal. Treasury Inflation-Protected Securities (TIPS) are a form of U.S. Treasury bond designed to help investors protect against inflation. These bonds are indexed to inflation, have U.S. government backing, and pay investors a fixed interest rate as the bond’s par value adjusts with the inflation rate.