Asked by Emily Rulewicz on May 06, 2024
Verified
The smallest component of the money market is
A) repurchase agreements.
B) small-denomination time deposits.
C) savings deposits.
D) money market mutual funds.
E) commercial paper.
Money Market
The section of the financial market dealing with the lending and borrowing of short-term funds, including treasury bills, commercial paper, and certificates of deposit.
Repurchase Agreements
Short-term loans where a borrower sells securities to a lender with an agreement to buy them back at a higher price at a future date.
Commercial Paper
An unsecured, short-term debt instrument issued by a corporation, typically used for the financing of payroll, accounts payable, and inventories.
- Acknowledge the components and gadgets of the money market.
Verified Answer
Learning Objectives
- Acknowledge the components and gadgets of the money market.
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