answersLogoWhite

0

What else can I help you with?

Continue Learning about Finance

What are factors of commercial paper?

Factors provide financing on accounts receivable by discounting accounts receivable on a non-recourse basis. Upon buying the accounts, the factor assumes the position of the seller--including the risk of default and credit losses


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 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.


What kinds of firms use commercial paper?

2


What is difference between commercial paper and treasury bill?

Commercial paper is the most prevalent form of security in the money market, issued at a discount, with a yield slightly higher than Treasury bills. The main issuers of commercial paper are finance companies and banks, but also include corporations with strong credit, and even foreign corporations and sovereign issuers. The main buyers of commercial paper are mutual funds, banks, insurance companies, and pension funds. Because commercial paper is usually sold in round lots of $100,000, very few retail investors buy paper.

Related Questions

What are factors of commercial paper?

Factors provide financing on accounts receivable by discounting accounts receivable on a non-recourse basis. Upon buying the accounts, the factor assumes the position of the seller--including the risk of default and credit losses


What toilet paper commercial did a woman fall on toilet paper?

It was the Cocacola commercial


What are the Discounting and Non-discounting Criteria of Capital Budgeting?

IRR


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.


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.


How do you explain discounting of accounting policies?

Explain discounting of accounting policies


When and why was the Federal Reserve System created?

The Federal Reserve System was established on December 23 1913 when US President Woodrow Wilson signed the Federal Reserve Act. The original purpose of the System was to give the USA an elastic currency, provide facilities for discounting commercial paper and to improve Bank supervision.


What day-count convention is used for commercial paper?

Actual/360 is the day-count convention used for commercial paper.


Are the terms off-price and discounting interchangeable?

Are the terms off-price and discounting interchangeable? Explain.


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.


How much are commercial paper cutters?

Commercial paper cutters can be found as low as $119.99 but the prices are increasingly higher depending on how many sheets or paper is needed to be cut at a time and how powerful they are.