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Determine whether each of the following is direct financing or indirect financing.(1 point)

Put responses in the correct input to answer the question. Select a response, navigate to the desired input and insert the response. Responses can be selected and inserted using the space bar, enter key, left mouse button or touchpad. Responses can also be moved by dragging with a mouse.
Direct Financing Indirect Financing

taking out a loan at a commercial break
selling stock on the stock market
investing in a friend's new business
investing in a mutual fund

1 answer

Here are the classifications for each financing type:

  1. Taking out a loan at a commercial bank - Indirect Financing
  2. Selling stock on the stock market - Direct Financing
  3. Investing in a friend's new business - Direct Financing
  4. Investing in a mutual fund - Indirect Financing

So the final categorization is:

  • Indirect Financing: Taking out a loan at a commercial bank, Investing in a mutual fund
  • Direct Financing: Selling stock on the stock market, Investing in a friend's new business