Question : Which of the following is a long-term debt instrument?

Option 1: Treasury bills
    

Option 2: Commercial papers
    

Option 3: Corporate bonds

    

Option 4: Repurchase agreements


Team Careers360 11th Jan, 2024
Answer (1)
Team Careers360 20th Jan, 2024

Correct Answer: Corporate bonds


Solution : The correct answer is (c) Corporate bonds.

Corporate bonds are long-term debt instruments issued by corporations to raise capital. They represent a form of borrowing for the issuing company and typically have maturities exceeding one year. Corporate bonds are a way for companies to raise funds for various purposes, such as funding expansion projects, refinancing existing debt, or acquiring other companies.

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