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Question

Money market deals in_________


A

Short term Securities

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B

Medium term securities

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C

None of these

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D

Long term Securities

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Solution

The correct option is A

Short term Securities


The money market is where financial instruments with high liquidity and very short maturities are traded. It is used by participants as a means for borrowing and lending in the short term, with maturities that usually range from overnight to just under a year.


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