Question: ? _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _

?_________________________________________
LoanPayments(SwissFrancs)
Year1
Year2
Year3
Year4
Year5
5YearLoanat8.00%3,200,0003,200,0003,200,0003,200,00043,200,0003YearLoanat6.00%,2YearLoanat11.00%2,400,0002,400,0002,400,0004,400,00044,400,000
Supposethattheannualizedcostoffinancingwiththeshorter-termloansisapproximately7.78%.
Basedonthiscostofdebtfortheshort-termloansandignoringuncertainty,Curryismorelikelytochoosetooptforthe.

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