Question
Which of the following is correct about Commercial
Papers (CP)?Solution
Commercial Paper (CP) is an unsecured money market instrument issued in the form of a promissory note. CP can be issued for maturities between a minimum of 7 days and a maximum of up to one year from the date of issue. Commercial Paper are issued by corporates to raise short term funds.
Statements: L > M = N > O, O > P ≥ T = R
Conclusion:
I. L > T
II. L ≥ R
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