The money markets are used for which of the following?
A. 
Long-term borrowing
B. 
Short-term borrowing
C. 
Both long-term and short-term borrowing
2.
Which of the following transactions are NOT carried out in the money market?
A. 
Buying or selling government bonds
B. 
Buying or selling stocks
C. 
Buying or selling deposits
D. 
Borrowing or lending short-term funds
3.
Central banks are not permitted to participate in the money market.
A. 
True
B. 
False
4.
Which of the following represents the time-span associated with money market transactions?
A. 
One year or less
B. 
One to 10 years
C. 
10 years or more
5.
A receipt is issued by a bank to a depositor to acknowledge money deposited. The bank guarantees to repay the principal plus interest at maturity.The receipt could be sold in the Market at a price.
The above definition refers to which of the following?
A. 
Call deposit
B. 
Certificate of deposit
C. 
Fixed deposit
D. 
Bankers Acceptance
6.
Which one of the following instruments is used in trade finance to make the process of payment for goods more efficient?
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