BUSINESS FINANCE II (İŞLETME FİNANSI II) - (İNGİLİZCE) Dersi Cost of Capital soru detayı:

PAYLAŞ:

SORU:

A company may raise debt financing either through bank loans or bond issues. In both types of borrowing the interest rate may be either fixed or floating. If the rate is floating, then what is the purpose of the utilization of an index?


CEVAP:

A company may raise debt financing either through bank loans or bond issues. In both types of borrowing the interest rate may be either fixed or floating. If the rate is floating, then an index is used to determine the interest payments for each period.