Riverside Metals recently issued some debt that had an original maturity of nine months.This debt is best classified as a(n):
A)option contract.
B)money market instrument.
C)fixed-income security.
D)derivative security.
E)futures contract.

Question

Quizplus · Accepted Answer

Debt with a maturity of nine months is typically classified as a money market instrument, as it has a short-term maturity and is generally considered low-risk. Options, derivatives, and futures contracts all involve specific underlying assets and are generally more complex financial instruments. Fixed-income securities typically have longer maturities and a fixed interest rate.

Riverside Metals Recently Issued Some Debt That Had an Original