14. True or False? (LOI)

a. Financing for public corporations must flow through financial markets.

b. Financing for private corporations must flow through financial intermediaries.

c. The sale of policies is a source of financing for insurance companies.

d. Almost all foreign exchange trading occurs on the floors of the FOREX exchanges in New York and London.

e. The opportunity cost of capital is the capital outlay required to undertake a real investment opportunity.

f. The cost of capital is the interest rate paid on borrowing from a bank or other financial institution.