Which of the following is not a true statement about commercial paper?
A) Finance paper is sold directly to the lender by the finance company.
B) Finance paper is also referred to as direct paper.
C) Dealer paper is sold directly to the lender by a finance company.
D) Industrial companies, utility firms, or finance companies too small to sell direct paper sell dealer paper instead.

Question

Quizplus · Accepted Answer

Dealer paper is not sold directly to the lender by a finance company; instead, it is sold through intermediaries. Finance paper, also known as direct paper, is sold directly to the lender by the finance company.

Which of the Following Is Not a True Statement About