Which one of the following is unsecured debt issued by corporations on a short-term basis?
A)commercial paper
B)interbank offered loan
C)equipment bond
D)collateralized debt
E)banker's acceptance

Question

Quizplus · Accepted Answer

Commercial paper is unsecured debt issued by corporations with maturities ranging from a few days to 270 days, and it is typically used to finance short-term obligations. Interbank offered loans, equipment bonds, and collateralized debt are not typically issued on a short-term basis by corporations. A banker's acceptance is a short-term debt instrument typically used in international trade finance that involves the involvement of a bank as an intermediary, and thus is not issued directly by a corporation.

Which One of the Following Is Unsecured Debt Issued by Corporations