If a company issues commercial paper and the bookkeeper, bank A, receives a buy order from bank B, in which bank B creates credit to buy the commercial paper, does the company has a credit in bank B or does bank B owe himself and has the asset of the commercial paper?
closed as off topic by Lliane, Louis Marascio, Bob Jansen, olaker♦ Sep 22 '11 at 9:49
Questions on Quantitative Finance Stack Exchange are expected to relate to quantitative finance within the scope defined by the community. Consider editing the question or leaving comments for improvement if you believe the question can be reworded to fit within the scope. Read more about reopening questions here.If this question can be reworded to fit the rules in the help center, please edit the question.
This is off topic in my humble opinion, but.
The Company owes Bank B and Bank B has the paper as an asset on its balance sheet.