It is easier for small firms to obtain financing through bank loans than through the commercial paper market.

Question

Quizplus · Accepted Answer

Small firms typically do not have the same level of creditworthiness and financial stability as larger firms, making it more difficult for them to access the commercial paper market. However, banks are often willing to lend to small firms, especially if they have collateral or a proven track record of profitability.

It Is Easier for Small Firms to Obtain Financing Through