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All of the following are true of municipal bonds, except:
All of the following are true of municipal bonds, except:a) Municipal bonds can either be general obligation bonds or revenue bonds.
b) Municipal bonds can be one more way to diversify your investment holdings.
c) Municipal bonds are usually purchased directly from the government that issued them or through account executives or brokerage firms.
d) The interest on municipal bonds is always subject to federal taxes.
e) The interest on municipal bonds may be exempt from federal taxes.
Final answer:Municipal bonds can be one way to diversify your investment holdings. They are usually purchased directly from the government that issued them or through account executives or brokerage firms. The interest on municipal bonds may be exempt from federal taxes.So the correct option is b) Municipal bonds can be one more way to diversify your investment holdings.Explanation:Municipal bonds can either be general obligation bonds or revenue bonds. Municipal bonds can be one way to diversify your investment holdings. Municipal bonds are usually purchased directly from the government that issued them or through account executives or brokerage firms. However, the interest on municipal bonds is not always subject to federal taxes. In fact, the interest on municipal bonds may be exempt from federal taxes....