The commercial papers cannot be converted in to cash with easy and quick transactions because of lack of ___________?
Correct answer: A. organized secondary markets
- A. organized secondary markets
- B. organized primary market
- C. organized interest markets
- D. organized money marketsEconomics
Explanation
Commercial paper is generally difficult to resell quickly because it lacks a well-organized secondary market. Its primary market is active, but that does not ensure easy conversion into cash before maturity.
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Business finance explains how organisations plan, obtain and use money while balancing risk, return and liquidity. Topics include financial statements, time value of money, budgeting, working capital, capital structure, sources of finance, investment appraisal and cost of capital. Capital budgeting evaluates long-term projects, whereas working capital manages day-to-day operations.
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