Question

Which of the following is a short term fund? *
Commercial paper
Debentures
Equity Share Capital
Preference Share capital

Answer 1

Answer:

I think A but not sure

Answer 2

Commercial paper is a short term fund among the givens.

Explanation:

• Commercial paper: It is a short term debt instrument issued by companies to obtain funds to meet short-term debt obligations.
• Debentures: It is a medium to long term debt instrument by companies and government to issue lone.
• Equity Share Capital: Capital gains are of two types:- short-term capital gain and long term-capital gain. It represents the money contributed by investors and owners toward the capital of the company.
• Preference Share capital: It is defined as the Capital raised by the issue of preference shares. This fund is also a long-term fund.