Which of the Following Is Not a Characteristic of Commercial

question 68

Multiple Choice

Which of the following is not a characteristic of commercial paper?

• A) issued by large firms
• B) one-to-two year maturity
• C) rates are usually below prime rates on business loans
• D) all the answers are commercial paper characteristics

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Definitions:

First-Degree Price Discrimination

A pricing strategy where a seller charges each buyer their maximum willingness to pay, capturing all consumer surplus.

Peak-Load Pricing

A pricing strategy used to regulate demand by charging higher prices during peak times and lower prices during off-peak times.

Second-Degree Price Discrimination

A pricing strategy where prices vary based on the quantity of goods or services purchased, but not on the characteristics of the buyer.

Early Bird

A term typically used to describe someone who completes a task or arrives somewhere early, often to take advantage of benefits or discounts.