Introduction to Commercial Paper
Negotiable Instruments in Business
Commercial paper refers to negotiable instruments used to facilitate payments and credit transactions. These instruments simplify commerce by allowing the transfer of money and payment obligations.
- Checks
- Promissory notes
- Drafts
- Certificates of deposit
Note
Commercial paper is widely used because it promotes efficient and reliable financial transactions.
Summary
Negotiable instruments are essential tools for modern business payments and financing.