alleryA trade bill accepted by a commercial bank is known as a:
AClearing bill
BCommercial bill
CTreasury bill
DCurrency bill
Answer & Solution
Correct answer: B. Commercial bill
1. Such bills can be discounted with a bank.
2. Bank acceptance changes the name.
3. It becomes a commercial bill.
_Source: syllabus Business Studies Part II, Chapter 10, Financial Markets._
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