SIE Exam Question 242: Answer and Explanation

Question: 242

One of the most frequently issued money market instruments is commercial paper. Typically, this investment has a maximum maturity:

• A. of one year
• B. of 270 days
• C. of 180 days
• D. of 90 days

Correct Answer: B

Explanation:

B: The maximum maturity is 9 months or 270 days.