Question

Which one of the following is/are True about the difference between Bonds and Treasury Bills? I- maturities less than 1 year are called T-bills and those more than one year are called bonds. II- T-bills are issued at a discount to their true (PA

Q: Answer-&lt;p&gt;Which one of the following is/are True about the difference between Bonds and Treasury Bill...

G-Secs is a collective term for these two types of securities maturities less than 1 year are called T-bills and those more than one year are called bonds. There are three T-bills variants and they vary based on the maturity period. They are 91 days, 182 days, and 364 days. T-bills do not carry an interest component, in fact, this is one of the biggest differences between T-bills and Bonds. T-bills are issued at a discount to their true PAR value and upon expiry, its redeemed at its true value.