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1 FINANCE MCQS

The market where short-term financial instruments are traded is called __________?

  • Money markets
  • Capital markets
  • Debt markets
  • Economic markets
Correct Answer: A. Money markets

Detailed Explanation

Money markets are financial markets that deal with short-term instruments such as treasury bills, commercial papers, and certificates of deposit. These instruments typically have maturities of one year or less and provide liquidity for businesses and financial institutions.

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