Prime-grade commercial paper will most likely have a higher annual return than
A) a common stock.
B) an investment-grade bond.
C) a Treasury bill.
D) a preferred stock.

Question

Quizplus · Accepted Answer

Prime-grade commercial paper is typically issued by corporations with high credit ratings and is considered a safe short-term investment. Therefore, it will likely have a lower return than riskier investments like common stocks or preferred stocks. However, it will likely have a higher return than very safe investments like Treasury bills or investment-grade bonds.

Prime-Grade Commercial Paper Will Most Likely Have a Higher Annual