Which of the Below Statements Is FALSE

question 8

Multiple Choice

Which of the below statements is FALSE?

• A) Commercial paper is rated by the government.
• B) Commercial paper can be directly placed by the issuer or issued by using the services of an agent or intermediary.
• C) Other countries have developed their own commercial paper markets, and there is a Eurocommercial paper market.
• D) By using credit support, smaller and less well-known companies with lower credit ratings have been able to issue paper.

---

Definitions:

Capital

Financial assets or the financial value of assets, such as cash and goods, used to start or operate a business.

Function

The specific purpose or activity for which something is used or designed to do.

Partnerships

A business structure in which two or more individuals manage and operate a business in accordance with the terms and objectives set out in a Partnership Agreement.

Competent Manager

An individual who possesses the necessary skills, knowledge, and experience to effectively direct and control business operations.