4
lesson pretestMultiple Choice

Pretest

Question 4 • CMS 2026-2027 Economics and Personal Finance CREDIT RECOVERY

What is one benefit of purchasing saving bonds?

Answer
A
Saving bonds are short term investments backed by the government to protect from loss.
B
Saving bonds are purchased from commercial banks and guaranteed to increase in value.
C
Saving bonds are long term investments created to help first time home buyers obtain a mortgage.
D
Saving bonds are purchased from the government and guaranteed to increase in value.

Explanation

Savings bonds are issued by the U.S. government, and their value grows over time according to the bond’s terms. This makes C correct: they are purchased from the government and are guaranteed to increase in value. They are not specifically designed to help first-time home buyers, as B claims.

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