info@jobexams.pk

Which financial instrument is used to raise funds for working capital?

Commercial paper is a short-term unsecured debt instrument issued by companies to meet their immediate working capital needs. It is widely used because it allows businesses to quickly raise funds without taking long-term loans or providing collateral.... Read More

1 FINANCE MCQS

Which financial instrument is used to raise funds for working capital?

  • Commercial paper
  • Commercial notes
  • Notes payable
  • Notes receivable
Correct Answer: A. Commercial paper

Detailed Explanation

Commercial paper is a short-term unsecured debt instrument issued by companies to meet their immediate working capital needs. It is widely used because it allows businesses to quickly raise funds without taking long-term loans or providing collateral.

Related Questions

Finance MCQs
In cash flow analysis, two projects are compared using a common life approach, which is classified as…
0 comments
View
Finance MCQs
Other factors held constant, a project with lesser liquidity is usually due to ____________?
0 comments
View
Finance MCQs
In capital budgeting, the Internal Rate of Return (IRR) of a project is classified as its ____________?…
0 comments
View
Finance MCQs
In evaluating independent projects, the results of Internal Rate of Return (IRR) and Net Present Value…
0 comments
View

Discussion

Thank you for your comment! Our admin will review it soon.
No comments yet. Be the first to comment!

Leave a Comment

Question Categories
General Knowledge Category MCQ'S
Computer Category MCQ'S
Chemistry Category MCQ'S
Pak Departmental Laws & Rules MCQs