Directions (1 - 5) : Rearrange the following six sentences (A), (B), (C), (D), (E) and (F) to make a meaningful paragraph and answer the questions that follow.
 
(A) The difference between the price at which the treasury bills are issued and their redemption value is the interest receivable on them and is called discount.
 
(B) Treasury bills are issued in the form of a promissory note.
 
(C) It is also known as Zero Coupon Bond issued by the Reserve Bank of India on behalf of the Central Government to meet its short-term requirement of funds. 
 
(D) They are highly liquid and have assumed yield and negligible risk of default. 
 
(E) A treasury bill is basically an instrument of short-term borrowing by the Government of India maturing in less than one year.
 
(F) They are issued at a price which is lower than their face value and repaid at par.
Important for :
1
Which of the following would be the FIRST sentence after rearrangement?
» Explain it
D
The sentence (E) serves well as an introductory statement as it introduces a treasury bill with a definition.  

Hint : It's common to find indefinite articles 'a' or 'an in an introductory statement.
2
Which of the following would be the SECOND sentence after rearrangement?
» Explain it
A
The statement (C) is the most suitable choice for the 2nd statement as it starts with the pronoun 'it' that's been used for the noun phrase 'A treasury bill'. Besides, it adds some more information to what's been described in the statement (E) which was the 1st statement after rearrangement. 
3
Which of the following would be the THIRD sentence after rearrangement?
» Explain it
C
The statement (B) would be the most appropriate choice for the 3rd statement as it takes the description of a treasury bill forward. 

Hint : The key word 'issued' is the link that confirms the statement (B) as the 3rd statement after rearrangment. 
4
Which of the following would be the FOURTH sentence after rearrangement?
» Explain it
E
Out of the two preferable statements (D) and (F) (as the 3rd statement has 'Treasury bills' as its subject that must be followed by a third person plural pronoun which is 'They'.), the more suitable pick would be the statement (D) as the statement (F) has a keyword 'price' that's been further stated in the statement (A) as well and it would be absurd to use the statement (D) between (F) and (A) if we took (F) as the 4th statement and (D) as the 5th one.

The statement (D) hence would be the most suitble choice as the 4th statement. 
5
Which of the following would be the LAST (SIXTH) sentence after rearrangement?
» Explain it
B
As it's already been discussed in the explanation part of the previous example that the statement (F) will follow the statement (D), the statement (A) hence will the last statement here.