It is an instrument of short-term borrowing by the Government of India maturing in less than one year.

(a) Call money

(b) Treasury bill

(c) Commercial bill

(d) None of the above

Answer (b) Treasury bill

Explanation:Treasury bills are money market instruments provided by the Government of India as a promissory note with ensured reimbursement on a specific date in the future. Assets gathered through such tools are ordinarily used to meet momentary necessities or for short-term use requirements of the public authority, thus, lessening the overall financial deficiency of a country.

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