Question

What is the maximum period of maturity for money market instruments?

a.

Two years

b.

One year

c.

Three years

d.

Five years

Answer: (b).One year Explanation:Money market instruments are short-term debt instruments that have maturities typically ranging from overnight to one year. These instruments are designed for short-term funding and liquidity management.

Interact with the Community - Share Your Thoughts

Uncertain About the Answer? Seek Clarification Here.

Understand the Explanation? Include it Here.

Q. What is the maximum period of maturity for money market instruments?

Similar Questions

Explore Relevant Multiple Choice Questions (MCQs)

Q. Which of the following Government securities are rooted with derivatives, such as call options and put options?

Q. ___________ reflects volatility of return on an investment relative to market swings.

Q. Which of the following is a financial asset?

Q. When should the insurer confirm the implementation of Internal/Concurrent Audit observations to the Authority?

Q. In what manner are shareholders' funds beyond the Solvency Margin treated in terms of investment?

Q. What is the requirement for reconciliation in the case of ULIP products for life insurers?

Q. What is the role of the Audit Committee in the internal audit process?

Q. What is the regulatory requirement for insurers with Asset under Management (AUM) not exceeding Rs. 1000 crores regarding internal audit of investments?

Q. How often should major expenses like management fees be accrued for computation of NAV?

Q. What is the significance of maintaining NAV history in the system?

Q. What is the purpose of the facility to upload transactions like Stock Splits, Dividend Receipts, etc., in the System?

Q. What role does the System play in compliance with regulatory requirements?

Q. Why is the periodic credit review necessary for investee companies?

Q. What is the significance of the System capturing and considering Instrument Ratings?

Q. What types of risks are associated with investments?

Q. What is the purpose of the System in monitoring and controlling Inter Fund Transfer transactions?

Q. What is the role of the Cash Management System (CMS) in managing liquidity risks?

Q. What is the purpose of the Maker/Checker procedure?

Q. What is the purpose of the Authority Matrix?

Q. What role does the Chief Financial Officer (CFO) play in the reporting structure of the investment department?

Recommended Subjects

Are you eager to expand your knowledge beyond IC 89 Management Accounting? We've handpicked a range of related categories that you might find intriguing.

Click on the categories below to discover a wealth of MCQs and enrich your understanding of various subjects. Happy exploring!