Q. Which of the following statements is not true with regard to Commercial paper? (Solved)
1. Is a long-term unsecured promissory note with a fixed maturity period.
2. It usually has a maturity period of 15 days to one year.
3. It is sold at a discount and redeemed at par.
4. Companies use this instrument for bridge financing.
- a. Is a long-term unsecured promissory note with a fixed maturity period.