Multiple Choice QuestionA written promise from one company to another to pay a specific amount of money is the definition of ______.Multiple choice question.marketable securitiesTreasury billscommercial papercommercial certificates of deposit
Question
Multiple Choice QuestionA written promise from one company to another to pay a specific amount of money is the definition of ______.Multiple choice question.marketable securitiesTreasury billscommercial papercommercial certificates of deposit
Solution
The correct answer is "commercial paper".
Commercial paper is a type of unsecured, short-term debt instrument issued by corporations, typically used for the financing of payroll, accounts payable and inventories, and meeting other short-term liabilities. It is a written promise from one company to another to pay a specific amount of money.
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