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What are the advantages of commercial paper in comparison with bank borrowing at the prime rate?
Wiki User
∙ 16y ago
In comparison to bank borrowing, commercial paper can generally be issued at below the prime rate. Furthermore, there are no compensating balance requirements, though the firm is required to maintain approved credit lines at a bank. Finally, there is a certain degree of prestige associated with the issuance of commercial paper.
Wiki User
∙ 16y ago
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Advantages and disadvantages of commercial paper?
The advantage of commercial paper is the ability for people to have access to the use of the product. The disadvantage of commercial paper is the use of natural resources that may become depleted.
What are some of the advantages and disadvantages of paper money when compared to coins?
Advantages of paper money include being lightweight and easy to carry in large amounts. Disadvantages include being more susceptible to wear and tear compared to coins. Coins are more durable and have intrinsic value due to the metal they are made from.
Advantages and disadvantages of commercial bills?
§ High credit ratings fetch a lower cost of capital. § Wide range of maturity provide more flexibility. § It does not create any lien on asset of the company. § Tradability of Commercial Paper provides investors with exit options. Disadvantages of commercial paper: § Its usage is limited to only blue chip companies. § Issuances of Commercial Paper bring down the bank credit limits. § A high degree of control is exercised on issue of Commercial Paper. § Stand-by credit may become necessary
What toilet paper commercial did a woman fall on toilet paper?
It was the Cocacola commercial
What is the definition and procedure of money market hedge?
Money market hedge is defined as borrowing and lending money in multiple foreign currencies to lock in that currency's value. This can be done by selling commercial paper, or by purchasing certificates of deposit for a short term.
Where can I buy a commercial toilet paper dispenser?
You can order a commercial toilet paper dispenser online from a website such as www.globalindustrial.com. You can also purchase a new or used commercial toilet paper dispenser from Amazon.com.
What day-count convention is used for commercial paper?
Actual/360 is the day-count convention used for commercial paper.
Advantages of paper based systems?
Paper-based systems are simple to use, cost-effective, and do not require electricity or technology to operate. Additionally, they offer a tangible format that is easy to organize and reference.
What are some advantages of using a paper shredder?
There are lots of advantages by using a paper shredder. The most important is that one can destroy pieces of paper so that it is nearly impossible to recompose them again.
Where can on purchase commercial paper for printing?
Commercial paper is best purchased from a big box store that offers discounts for buying in bulk. Staples, Office Max, and even Costco offer discounts for purchasing large quantities of commercial paper.
What types of firms issue commercial paper What are the characteristics critical to being able to issue commercial paper?
Commercial banks act as agents in issuing paper, holding it for safekeeping and facilitate payment in federal funds. Most of the firms sell their paper through dealers. Only large, well-known firms of the highest credit standing, and lowest default risk can issue commercial paper because paper is an unsecured promissory note.
The advantages of paper based databases?
none
