info@jobexams.pk

MCQ Detailed View

Explore the question in detail with explanation, related questions, and community discussions.

1 FINANCE MCQS

Investors usually hold commercial papers for __________?

  • Issuance to maturity
  • Within 1 to 2 days
  • Within 3 to 4 days
  • Within 4 to 5 days
Correct Answer: A. Issuance to maturity

Detailed Explanation

Commercial papers are short-term debt instruments issued by corporations to meet immediate funding needs. Investors generally hold these instruments from issuance until maturity, which can range up to 270 days. They are rarely traded frequently in the secondary market because of their short duration and low risk.

Discussion

Thank you for your comment! Our admin will review it soon.
No comments yet. Be the first to comment!

Leave a Comment