Post a New Question


posted by .

Suppose you believe that the economy is just entering a recession. Your firm must raise capital immediately, and debt will be used. Should you borrow on a long-term or a short-term basis? Why?

  • Finance -

    I choose a long-term loan. If the economy is entering a recession, then the interest rates will probably go down soon. You can refinance later at a lower interest rate.

Answer This Question

First Name:
School Subject:

Related Questions

More Related Questions

Post a New Question