Economics · Banking and Finance
What is a 'Bridge Loan' in the context of corporate finance?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1A permanent equity investment made by venture capitalists in a startup company
- 2A low-interest loan provided by the central bank to commercial banks during emergencies
- 3A short-term loan intended to cover a temporary cash shortage until permanent financing is secured✓
- 4A long-term loan used exclusively for building infrastructure projects like bridges
Correct answer
A short-term loan intended to cover a temporary cash shortage until permanent financing is secured
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