Commercial paper is a short-term security issued by ________ to raise funds.

A) the Federal Reserve Bank
B) commercial banks
C) large, well-known companies
D) the New York Stock Exchange
E) state and local governments

Commercial Paper

Short-term, unsecured debt issued by companies to finance immediate liquidity needs.

Short-Term Security

A financial instrument that typically matures in one year or less.

Well-Known Companies

Firms that have established a strong brand, reputation, and presence in their respective markets, often leading to a wider recognition among the public and investors.