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kakasveta [241]
3 years ago
8

A firm will borrow long-term

Business
1 answer:
Evgen [1.6K]3 years ago
6 0

Answer:

A. if the extra interest cost of borrowing long-term is less than the expected cost of rising interest rates before it retires its debt.

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Jim buys a 5 percent bond in the amount of $100. If the market interest rate increases to 10 percent Jim can sell his bond for u
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