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Question : They are highly liquid and have assured yield and negligible risk of default due to soundness of RBI. Which money Market instrument is highlighted in the given statement?
 

Option 1: Commercial bill 

Option 2: Commercial paper

Option 3: Call money
 

Option 4: Treasury bill

 


Team Careers360 6th Jan, 2024
Answer (1)
Team Careers360 22nd Jan, 2024

Correct Answer: Treasury bill

 


Solution : Treasury bill is an instrument of short term borrowings issued by Reserve Bank of India on behalf of Indian government.They are highly liquid and have assured yield and negligible risk of default due to soundness of RBI.

Hence, option D is correct.

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