If your company primarily borrows from commercial banks, then it primarily accesses the capital markets through:
A) direct financing.
B) indirect financing.
C) a legal loophole that allows all commercial banks the ability to underwrite securities.
D) none of the above.

Question

Quizplus · Accepted Answer

Indirect financing involves borrowing from financial intermediaries like commercial banks, which then access the capital markets on behalf of the borrower.

If Your Company Primarily Borrows from Commercial Banks, Then It