A banker's acceptance
A)is a draft drawn on a bank and paid by that bank when presented to it.
B)may be accepted by the bank for future payment.
C)can be traded in a relatively liquid market until maturity.
D)All of the options

Question

Quizplus · Accepted Answer

A banker's acceptance is a type of financial instrument that is a draft drawn on a bank and paid by that bank when presented to it. It can also be accepted by the bank for future payment. Additionally, it can be traded in a relatively liquid market until maturity. Therefore, all the given options are correct.

A Banker's Acceptance