Which of the following sources is not use for medium term financing? A. Issue of equity shares B. Issue of debentures C. Term loans from banks D. Sale of current asset

The correct answer is D. Sale of current assets.

Medium-term financing is a type of financing that is used to fund projects or activities that have a lifespan of more than one year but less than five years. It is typically used by businesses to finance the purchase of equipment, the expansion of operations, or the acquisition of another company.

There are a number of different sources of medium-term financing, including:

• Issue of equity shares: This involves selling shares in the company to investors. This can be a good way to raise capital, but it also dilutes the ownership of existing shareholders.
• Issue of debentures: This involves borrowing money from investors by issuing bonds. This is a less risky option for investors than equity shares, but it also costs the company more in interest payments.
• Term loans from banks: This involves borrowing money from a bank for a fixed period of time. This is a relatively safe option for both the company and the bank, but it can be expensive.
• Sale of current assets: This involves selling assets that the company already owns, such as inventory or equipment. This can be a quick way to raise cash, but it can also damage the company’s long-term prospects.

Of the options listed, only the sale of current assets is not a typical source of medium-term financing. The other options are all