Assignment 02- Financial Markets and Institutions The capital allocation process involves the transfer of capital among different entities that include individuals small businesses, banks, financial intermediaries, companies, mutual funds, and other market participants. In a developed market economy, capital flows freely between entities that want to supply capital to those who want it. This flow of capital can be classified in three ways. In the table below, identify the nature of capital transfer given in the scenario with its appropriate classification: Indirect Transfers through Investment Banks Indirect Transfers through Financial Intermediaries Direct Transfers Scenario A small startup firm has each of the partners contrikute $50,000 in capital to help the company make payroll for the next three months. Steve's grandfather loans him $30,000 to start a small coffee shop in the East Village in Manhattan. Citibank issues a loan to Jennifer for the expansion of her flower delivery business. W2 Corp. needs capital to finance a new product line. It borrows money in the form of long-term bonds underwritten by an investment bank