DISBURSE/DISBURSEMENT Definition

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DISBURSE/DISBURSEMENT is the paying out of money to satisfy a debt or an expense.

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MONEY MARKET FUND is a fund that invests in various short-term debt instruments, i.e., commercial paper, negotiable certificates of deposit, bankers acceptances, Treasury bills, etc. Shares seek to maintain a net asset value of $1 but the interest rate changes daily.

REDEMPTION is the repayment of the principal amount of a debt or security at or before maturity (as when a corporation repurchases its own stock).

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