Which of the Following Is NOT a Characteristic of Commercial

question 116

Multiple Choice

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

• A) It is issued by large firms.
• B) It has a one- to two-year maturity.
• C) Its rates are usually below prime rates on business loans.
• D) All of these options are commercial paper characteristics.

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Definitions:

Tariff

A tax imposed on imported goods and services, aimed at making foreign products more expensive and protecting the domestic industry.

Consumer Surplus

The difference between the highest price a consumer is willing to pay for a good or service and the actual price they pay.

World Trade Organization

An international organization that regulates trade between nations, aiming to ensure trade flows as smoothly, predictably, and freely as possible.

Trade Concessions

Agreements or compromises in international trade where one country offers reductions in tariffs or other trade barriers to another country, often to foster better relations or gain economic benefits.