Today the primary distinction between direct and indirect finance is in:
A) direct finance the asset holder has a claim on a financial institution while in indirect finance the asset holder has a direct claim on the borrower.
B) indirect finance the lender has a direct claim on the borrower while in direct finance the lender has a claim on a financial institution.
C) direct finance the asset holder has a direct claim on the borrower while in indirect finance the asset holder has a claim on a financial institution.
D) indirect finance the asset holder has a claim on the government while in direct finance the asset holder has a direct claim on a private sector corporation.
Correct Answer:
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