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Q.Write a short note on: Treasury Bill

Telangana TsbieTSBIE Telangana Intermediate (2nd Year) Commerce Board 2024Subjective· 2mImportance★★★★★est
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Concept understanding — Money Market Instruments

Money market instruments are short-term financial instruments with a maturity of one year or less, used to raise and lend funds for meeting short-term requirements. Treasury bills are issued by the government at a discount and repaid at face value, representing a safe, highly liquid instrument. Commercial paper is an unsecured promissory note issued by large creditworthy companies to raise short-term funds. A call money is used mainly by banks to meet reserve requirements for very short periods. …

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