Multiple Choice
The most important reason for directly issuing or using commercial paper dealers is:
A) the cost of borrowing is generally less than regular bank rates
B) it's a profitable alternative to the purchase of Treasury bills
C) the avoidance of compensating balances
D) the convenience and profitability
Correct Answer:

Verified
Correct Answer:
Verified
Q116: In order to borrow $175,000 for an
Q117: A short-term promissory note sold by high-credit-quality
Q118: Factoring accounts receivable has all of the
Q119: Pledging accounts receivable has all of the
Q120: Trade credit is the single most important
Q122: Which of the following short-term sources of
Q123: Advance factoring is where the firm selling
Q124: If a company can stretch its accounts
Q125: Trade credit may be considered the least
Q126: Which would not be likely to be