Match List-I with List-II.

Choose the correct answer from the options given below :

(A)-(III), (B)-(I), (C)-(IV), (D)-(II)

The correct answer is option (1) : (A)-(III), (B)-(I), (C)-(IV), (D)-(II)

(A) Treasury Bill - (III) Zero coupon Bonds used by Central Government.

Treasury bills are short-term government securities issued to finance government expenditure. They are zero coupon bonds, meaning they are issued at a discount and redeemed at face value upon maturity. They are generally used by the central government for short-term financing needs.

(B) Call Money - (I) Used for inter-bank transactions:

Call money refers to short-term finance borrowed or lent by banks in the money market. It is used for inter-bank transactions where banks borrow funds from each other to manage their short-term liquidity needs.

(C) Commercial Bill - (IV) When trade bill is discounted with a commercial bank:

Commercial bills, also known as trade bills, are short-term negotiable instruments used by businesses for financing their trade transactions. They are often discounted with commercial banks to provide liquidity to the businesses before the maturity of the bills.

(D) Commercial paper - (II) Used for bridge financing:

Commercial papers are unsecured, short-term debt instruments issued by corporations to raise funds for their short-term financing needs. They are often used for bridge financing, allowing companies to meet their immediate financial requirements before longer-term funding is obtained.