Which of the Following Is NOT True About Commercial Paper

question 68

Multiple Choice

Which of the following is NOT true about commercial paper?

• A) It is a short-term (six months or less) debt.
• B) It is riskier than a Treasury bill.
• C) It is issued by a "high-quality" corporate borrower.
• D) It pays at a rate about double the Treasury bill.
• E) It can be resold.

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