With a _________, a bank agrees to purchase a firm's __________ if the firm cannot place the issue in the market at an acceptable interest rate.

Question

Quizplus · Accepted Answer

A note issuance facility is an arrangement where a bank agrees to purchase a firm's commercial paper if the firm cannot place the issue in the market at an acceptable interest rate. This provides the issuing firm with a liquidity backstop.

With a _________, a Bank Agrees to Purchase a Firm's