If the loan life cover ratio is greater than 1: a) It means there would be a

Question:

If the loan life cover ratio is greater than 1:
a) It means there would be a cash surplus for sponsors if the investment were liquidated immediately.
b) It means there would be a cash deficit for sponsors if the investment were liquidated immediately.
c) It means that for every year of project development, the SPV can generate sufficient resources to cover financial outflows.