At any given time, the yield on commercial paper is ____ the yield on a T-bill with the same maturity.

Name: At any given time, the yield on commercial paper is ____ the yield on a T-bill with the same maturity.
Brand: Quizplus
Rating: 4.9 (47 reviews)

Question

Quizplus · Accepted Answer

Commercial paper typically offers a slightly higher yield than T-bills of the same maturity due to the higher risk associated with commercial paper, which is unsecured and issued by corporations, as opposed to T-bills, which are backed by the government's credit.

At Any Given Time, the Yield on Commercial Paper Is