Question

75. Which of the following is not the feature of commercial bills?
a) Short term
b) Trade bill
c) Issued by RBI
d) High degree of liquidity

Answer 1

Concept introduction:

Commercial bills are considered as the exchanged bills that are potentially used in finances and for the credit sales of different organizations. Commercial bill is referred as short term and self liquidity tool for business growth.

Explanation:

As per this question, one answer needs to be selected from the alternative four options by choosing the option which is nit a feature of the commercial bills.

Final answer:

High degree of liquidity is not a feature of the commercial bills.

Answer 2

1. Commercial bills are bills that have been exchanged and are potentially used in finance and credit sales by various organisations.
2. A commercial bill is a short-term, self-liquidity tool for business growth.
3. It is a trade bill that is issues by RBI.
4. Commercial bills do not have a high degree of liquidity.

Hence, option D is correct.

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