Commercial paper usually is issued
A. for 3 to 7 years.
B. for short-term financing by large corporations.
C. for short-term financing by small businesses.
D. by large corporations unable to get credit elsewhere.
E. by savings and loan associations.
Answer: B
You might also like to view...
In order to be classified as a process costing system, the product flow must represent a series of processes in which only one process has input into the next process
Indicate whether the statement is true or false
Knollwood Corporation issued $278,000 of 30-year, 8 percent bonds at 106 on one of its semi-annual interest dates. The straight-line method of amortization is to be used. The entry to record the bond interest expense on the next interest payment date is:
a. Bond Interest Expense 11,120 Cash 11,120 b. Bond Interest Expense 11,398 Cash 11,398 c. Bond Interest Expense 10,520 Cash 10,520 d. Bond Interest Expense 10,842 Unamortized Bond Premium 278 Cash 11,120
The company's annual required rate of return is 9%. Using the factors in the table, calculate the present value of the cash flows. (Round all calculations to the nearest whole dollar.)
Home Express Moving Company is considering purchasing new equipment that costs $728,000. Its management estimates that the equipment will generate cash inflows as follows:
A) $892,000
B) $864,646
C) $853,320
D) $894,000
Which of the following is the rate of return, based on discounted cash flows, a company can expect to earn by investing in a capital asset?
A) accounting rate of return B) bank interest rate C) internal rate of return D) return on investment