CFA Practice Question
Which of the following is an unsecured promissory note issued by corporations?
A. CDs
B. Bankers acceptance
C. Commercial paper
Explanation: Commercial paper is a short-term credit instrument issued by large business corporations to the public. Commercial paper usually comes in minimum denominations of $25,000 and represents an unsecured promissory note.
User Contributed Comments 1
| User | Comment |
|---|---|
| Rinoa86 | Note is a short term fixed income product. Hence, commercial paper. |